The hypotheses of non-addiction, myopia and rational addiction are tested using annual, quarterly and monthly data. Changes in the prices of Japanese cigarettes can be viewed as natural experiments from the point of view of consumer behavior, because the Japanese government controls cigarette...

Japan has implemented a number of anti-smoking policies; these include information disclosures, taxation, and smoking bans. These measures have increased the information available to consumers, as well as tax rates on tobacco products. First, this paper shows, theoretically, the association...

This paper introduces a new way to examine the effects of mandatory information disclosure on inter-brand cigarette demands and the behavior of a monopolistic firm in Japan. I estimated inter-brand demands by including nicotine, tar content, and policy event information in the model and by using...

We examine the validity of a new system of taxation called lottery receipts in China theoretically and empirically. Tax collection is difficult as the government difficultly monitors the actual economic dealings. To bring out the private information on transaction known only to a seller and a...

A rational addiction (RA) model with optimal inventories is developed and empirically tested. Consumers hoard addictive goods when they anticipate a future price increase. The optimal inventory period increases with the size of the price hike but decreases with inventory costs. The absolute...

I estimated inter-brand cigarette demands with nicotine, tar content and policy event information in Japan during 1950-84. The demand for all brands increased but the demand for plain (non-filter) brands decreased due to the dissemination ofgA Note about Health Damage from Smoking h in 1964. The...