The effect of taxes and bans on passive smoking
The American Economic Journal: Applied Economics, 2010, Vol. 2, No. 1, pp. 1-32
ADDA, Jérôme, CORNAGLIA, Francesca, The effect of taxes and bans on passive smoking, The American Economic Journal: Applied Economics, 2010, Vol. 2, No. 1, pp. 1-32 - http://hdl.handle.net/1814/15835
Retrieved from Cadmus, EUI Research Repository
We evaluate the effect of smoking bans and excise taxes on the exposure to tobacco smoke of nonsmokers, and we show their unintended consequences on children. Smoking bans perversely increase nonsmokers' exposure by displacing smokers to private places where they contaminate nonsmokers. We exploit data on bio-samples of cotinine, time use, and smoking cessation, as well as state and time variation in anti-smoking policies across US states. We find that higher taxes are an efficient way to decrease exposure to tobacco smoke.
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