A Working Model for Predicting the Consumption and Revenue Impacts of Large Increases in the U.S. Federal Cigarette Excise Tax
(785 K)
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NBER Working Paper No. 4803
Issued in July 1994
NBER Program(s): HC PE
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This report describes an easily computable model of the relation between cigarette prices and cigarette consumption in the United States. The model is used to predict the revenue impacts of Federal excise tax hikes ranging from $0.45 to $1.76 per pack.
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