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September 5, 2025Nicotine & Tobacco Research

Price-Responsiveness of Cigarette Smoking Behaviors across Income Groups in the United States

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Authors

CKCourtney KeelerTYTingting YaoYWYingning Wang

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Overview

Econometric analysis reveals significant price elasticity variations in smoking behaviors across income groups.

Key Points

  • Lower-income groups exhibit higher price responsiveness in smoking participation compared to high-income smokers.
  • Statistically significant price elasticity of -0.32 for poor, -0.27 for low-income, and -0.24 for middle-income groups indicates sensitivity to price changes.
  • The total price elasticity of cigarette demand is highest among middle-income smokers at -0.56, reflecting their responsiveness.
  • Earmarking tobacco tax revenues for cessation assistance is essential to support lower-income smokers in quitting.

Cite This Study

Keeler et al. (2025) studied this question.

synapsesocial.com/papers/68c23887b210217d64778797https://doi.org/10.1093/ntr/ntaf177
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