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Strategic Interdependence and Passive Smoking

  • Srijit Mishra


An ex post analysis shows that avoidance, as against associating, by smoker and non-smoker when the former smokes is a Nash outcome. Ex ante, passive smoking occurs because socio-legal structures allow smokers to take non-smokers for granted. This can be done away with if smoker’s cost (material plus non-material) of associating with a nonsmoker while smoking is greater than that of avoiding. To ensure this, norms and conventions of avoidance ought to be developed and the health-risk of passive smoking should be made common knowledge. As a special case, a single person’s active smoking behaviour has also been analysed [GIPE WP 1].

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Paper provided by eSocialSciences in its series Working Papers with number id:1097.

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Date of creation: Jul 2007
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Handle: RePEc:ess:wpaper:id:1097
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  1. Viscusi, W Kip, 1991. "Age Variations in Risk Perceptions and Smoking Decisions," The Review of Economics and Statistics, MIT Press, vol. 73(4), pages 577-88, November.
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  5. Sander, William, 1995. "Schooling and Quitting Smoking," The Review of Economics and Statistics, MIT Press, vol. 77(1), pages 191-99, February.
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  8. Schneider, Lynne & Klein, Benjamin & Murphy, Kevin M, 1981. "Governmental Regulation of Cigarette Health Information," Journal of Law and Economics, University of Chicago Press, vol. 24(3), pages 575-612, December.
  9. Laux, Fritz L., 2000. "Addiction as a market failure: using rational addiction results to justify tobacco regulation," Journal of Health Economics, Elsevier, vol. 19(4), pages 421-437, July.
  10. Becker, Gary S & Murphy, Kevin M, 1988. "A Theory of Rational Addiction," Journal of Political Economy, University of Chicago Press, vol. 96(4), pages 675-700, August.
  11. Gary S. Becker & Michael Grossman & Kevin M. Murphy, 1990. "An Empirical Analysis of Cigarette Addiction," NBER Working Papers 3322, National Bureau of Economic Research, Inc.
  12. Boyer, Marcel, 1978. "A Habit Forming Optimal Growth Model," International Economic Review, Department of Economics, University of Pennsylvania and Osaka University Institute of Social and Economic Research Association, vol. 19(3), pages 585-609, October.
  13. W. Kip Viscusi & Wesley A. Magat & Joel Huber, 1999. "Smoking Status and Public Responses to Ambiguous Scientific Risk Evidence," Southern Economic Journal, Southern Economic Association, vol. 66(2), pages 250-270, October.
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