Cigarette Smoking in Indonesia : Examination of a Myopic Model of Addictive Behaviour
Using aggregated panel data taken from three waves of the Indonesian Family Life Survey (1993-2000), this article tests the myopic addiction behaviour of cigarette demand. Sensitivity analysis is done by examining a rational addiction behavior of cigarette demand. The results provide support for myopic addiction. The short- and long-run price elasticities of cigarette demand are estimated at -0.28 and -0.73 respectively. Excise taxes are more likely to act as an effective tobacco control in the long-run rather than a major source of government revenue
Year of publication: |
2010
|
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Authors: | Hidayat, B. ; Thabrany, H. |
Subject: | Indonesien | Indonesia | Rauchen | Smoking | Sucht | Addiction | Tabaksteuer | Tobacco tax | Zigarette | Cigarette |
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