The Effect of E-Cigarette Taxes on Pre-pregnancy and Prenatal Smoking
We use the universe of birth records in the United States from 2013 to 2018 to examine the effect of e-cigarette tax rates on pre-pregnancy smoking and prenatal smoking. We study these questions using two-way fixed effects models and pregnancy fixed effects models. We show that e-cigarette taxes increase pre-pregnancy smoking, increase prenatal smoking, and lower smoking cessation during pregnancy. These findings imply that e-cigarettes and traditional cigarettes are substitutes among pregnant women. We also find evidence that e-cigarette taxes reduce pre-pregnancy and third trimester e-cigarette use.
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