Rees Jones, Alex
Price isn't everything behavioral response around changes in sin taxes / Alex Rees-Jones and Kyle Rozema
Resumen.
Bibliografía.
In traditional economic models, taxes change behavior by changing prices. In empirical analyses, factors other than price are thought to be relevant, but any nonprice factors are usually assumed to be held constant as taxes vary. We contend that violations of this assumption are expected when laws are passed changing sin taxes. In support of this claim, we document that state-level cigarette tax increases are concomitant with increases in antismoking appropriations, media coverage on smoking, lobbying efforts, and place-based smoking restrictions. The influence of these nonprice factors is easily confused with price effects, and we find evidence suggesting that controlling for them substantially reduces the estimated demand responsivity to the tax itself.
PRECIOS
IMPUESTOS ESPECIALES
TABACO
BEBIDAS ALCOHOLICAS
MODELOS ECONOMETRICOS
Rozema, Kyle
National Tax Journal 0028-0283 v. 76, n. 1, March 2023, p. 4-35
Price isn't everything behavioral response around changes in sin taxes / Alex Rees-Jones and Kyle Rozema
Resumen.
Bibliografía.
In traditional economic models, taxes change behavior by changing prices. In empirical analyses, factors other than price are thought to be relevant, but any nonprice factors are usually assumed to be held constant as taxes vary. We contend that violations of this assumption are expected when laws are passed changing sin taxes. In support of this claim, we document that state-level cigarette tax increases are concomitant with increases in antismoking appropriations, media coverage on smoking, lobbying efforts, and place-based smoking restrictions. The influence of these nonprice factors is easily confused with price effects, and we find evidence suggesting that controlling for them substantially reduces the estimated demand responsivity to the tax itself.
PRECIOS
IMPUESTOS ESPECIALES
TABACO
BEBIDAS ALCOHOLICAS
MODELOS ECONOMETRICOS
Rozema, Kyle
National Tax Journal 0028-0283 v. 76, n. 1, March 2023, p. 4-35