Tax harmonization and the reduction of European smoking rates.
Amidst growing optimism that smoking in Europe can be greatly reduced by the year 2000, this paper simulates the possible impacts of European tax harmonization in the context of rising incomes. A range of price and income elasticities are chosen from econometric studies which use micro information. This is justified by the aggregation problems associated with studies in the smoking literature which use aggregate data. Using micro elasticities, the simulations reported in this paper show that the aims of fiscal harmonization are at variance with the aims of health promotion.
Royal Holloway and Bedford New College, University of London, Surrey, UK.
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Trigg
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Bosanquet
D003365:Costs and Cost Analysis / Q000706:statistics & numerical data; D005060:Europe / Q000453:epidemiology; D005249:Fees and Charges / Q000706:statistics & numerical data; D015438:Health Behavior; D006293:Health Promotion / Q000191:economics*; D006801:Humans; D017059:Models, Econometric; D012044:Regression Analysis; D012907:Smoking / Q000191:economics* / Q000453:epidemiology; D000074606:Smoking Prevention; D012959:Socioeconomic Factors; D013660:Taxes / Q000706:statistics & numerical data*; D014944:World Health Organization