The Effect of Prices on Cigarette Use Among Youths in the Global Youth Tobacco Survey

Department of Economics, Texas Christian University, Fort Worth, TX
Nicotine & Tobacco Research (Impact Factor: 3.3). 05/2013; 16(Suppl 1). DOI: 10.1093/ntr/ntt019
Source: PubMed


We estimated the impact of cigarette prices on youth smoking in 38 countries with the Global Youth Tobacco Survey.

We used a 2-part model of cigarette demand. In the first part, we estimated the impact of prices on the decision to smoke. Conditional on smoking, we then estimated the effect of price on the number of cigarettes smoked. We employed 2-way fixed effects to address country-level time-invariant heterogeneity and controlled for an array of local-level variables to address local-level heterogeneity.

The estimated total price elasticity is -1.5 for a sample that contains both high-income and low- and middle-income countries. Constraining the sample to only low- and middle-income countries, we found a total price elasticity of -2.2, suggesting that smoking among youths in low-income countries is more responsive to cigarette price changes.

Cigarette price increases are highly effective in reducing smoking prevalence and consumption among youths globally and particularly among youths in low- and middle-income countries.

13 Reads
  • Source
    • "Extensive research links lower tobacco prices to higher youth smoking (Chaloupka et al., 2011; U.S. Department of Health and Human Services 2012; Kostova et al., 2011; Kim et al., 2013; Nikaj and Chaloupka 2014). The tobacco industry strategically utilizes price reductions to increase market share (Chaloupka et al., 2002; Tauras et al., 2006) offset the impact of tobacco taxes and policies (Keeler et al., 1996; Slater et al., 2001; Loomis et al., 2006), target cigarette marketing geographically and by user population. "
    [Show abstract] [Hide abstract]
    ABSTRACT: This study examines lowest cigarette prices in all tobacco retail outlets in Washington D.C. (n=750) in relation to the type and number of high schools nearby, controlling for confounders. The lowest overall and Newport menthol prices were significantly lower at outlets near public non-charter and charter schools compared with outlets near private schools. Given higher smoking prevalence and more price-sensitive youth subgroups in U.S. public schools, exposure to low prices may contribute to tobacco-related health disparities in minority and low-income populations. Tobacco taxes combined with policies to minimize the increasing use of price as a marketing tool are critical.
    Health & Place 01/2015; 31. DOI:10.1016/j.healthplace.2014.12.002 · 2.81 Impact Factor
  • [Show abstract] [Hide abstract]
    ABSTRACT: Evidence on the relationship between cigarette prices and adult smoking in low- and middle-income countries (LMICs) is relatively limited. This study offers new descriptive evidence on this relationship using data from a set of 13 LMICs. We use Global Adult Tobacco Survey (GATS) cross-country data from approximately 200,000 participants aged 15 and older. Estimates on the relationship between prices and adult smoking were obtained from logit models of smoking participation and ordinary least squares models of conditional cigarette demand. Higher prices were associated with lower demand across countries, in terms of both smoking prevalence and daily number of cigarettes smoked among smokers. Our estimates suggest that the total price elasticity of cigarette demand in LMICs is approximately -0.53. We find that higher socioeconomic status (SES), represented through wealth and education effects is associated with lower chance of smoking overall, but among existing smokers, it may be associated with a larger number of cigarettes smoked. After controlling for a set of individual demographic and country characteristics, cigarette prices retain a significant role in shaping cigarette demand across LMICs. Because higher SES is associated with a reduced chance of smoking overall but also with increased daily consumption among current smokers, optimal tobacco tax policies in LMICs may face an added need to accommodate to shifting SES structures within the populations of these countries.
    Nicotine & Tobacco Research 01/2014; 16 Suppl 1(Suppl 1):S10-5. DOI:10.1093/ntr/ntt170 · 3.30 Impact Factor
  • [Show abstract] [Hide abstract]
    ABSTRACT: Purpose Sound public health policy is based on relevant and timely information. A brief review of the history of youth tobacco control illustrates the central role of epidemiology to inform policy choices and evaluate their consequences. Methods A narrative review was conducted. Results Epidemiologic studies have shown that most smokers begin as adolescents or young adults and individuals who reach their mid-twenties as non-smokers are unlikely to ever become smokers. This key recognition made it clear that long-term tobacco control must prevent initiation of smoking among youth. Over time, tobacco use prevention interventions have evolved, increasing in reach and effectiveness as they moved from initially focusing on the individual to an approach that targets both populations and communities. Effective interventions for preventing youth smoking include raising tobacco prices, clean indoor air laws, and intensive mass media campaigns. Conclusions Great strides have been made in youth tobacco control but 18% of high school students continue to smoke. It is up to epidemiologists, fellow scientists, practitioners, and advocates to assure that strategies that are known to work are fully implemented as well as to continue to find more successful solutions that can further lower the incidence of youth smoking initiation and can address new tobacco products and changing contexts.
    Annals of Epidemiology 04/2014; 25(5). DOI:10.1016/j.annepidem.2014.03.005 · 2.00 Impact Factor
Show more