Cigarette Tax Increase

Cigarette Tax Increase

Introduction

This paper evaluates the impact of cigarette prices and taxes on cessation behavior using data from a longitudinal survey in the United States.

This study is unique, as it examines the impact of price on adult smoking cessation using longitudinal data. The results support the notion that higher cigarette prices are able to increase cessation as well as motivate smokers to quit. The impact of higher prices persists despite the existence of cheaper cigarette sources, although they seem to reduce the magnitude of the price effect. We study both the motivation to quit smoking and actual quitting behavior ...