The Impact of Tobacco Control Expenditures on Smoking Initiation and Cessation

Abstract:     
In 2007, regular and occasional smokers accounted for 28% of the Swiss population aged 15 and above, whereas the proportion was significantly higher ten years earlier (33%). This paper uses data from the 2007 edition of the Swiss Health Survey to investigate the association between overall tobacco control expenditures and the decline in smoking prevalence. Smoking initiation and cessation were analyzed separately using discrete and continuous time hazard models. After controlling for prices and individual characteristics, I find evidence that tobacco control expenditures significantly increase the probability of smoking cessation. In contrast, in most specifications the impact of tobacco control spending on smoking initiation is not statistically significant.

Keywords: tobacco control expenditures, smoking initiation, smoking cessation, hazard models

JEL Classification: I18, C41

working papers series