The Demand for Physicians' Services and the Price of Cigarettes
This paper presents Tobit estimates of the demand for physician visits. Using the 1980 National Health Interview Survey and price data from the Tobacco Institute, estimates of the effect of cigarette prices on physician utilization are obtained. Statistically significant coefficients imply a cross-price elasticity of demand of approximately -0.5. This result implies increased cigarette taxes may help control health care utilization and expenditures. In addition, the estimated effects of physician prices, income, and socio-demographics are presented and discussed.
Year of publication: |
1990
|
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Authors: | Russo, Gerard |
Institutions: | Department of Economics, University of Hawaii-Manoa |
Saved in:
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