Rational Addiction Under Uncertainty

2021 ◽  
Author(s):  
Zaifu Yang ◽  
Rong Zhang
Keyword(s):  
2002 ◽  
Vol 11 (6) ◽  
pp. 485-491 ◽  
Author(s):  
Badi H. Baltagi ◽  
James M. Griffin

2015 ◽  
Vol 40 (2) ◽  
pp. 163-190 ◽  
Author(s):  
Concetta Castiglione ◽  
Davide Infante

Addiction ◽  
2019 ◽  
Vol 115 (1) ◽  
pp. 184-187 ◽  
Author(s):  
Ole Rogeberg
Keyword(s):  

2005 ◽  
Vol 49 (3) ◽  
pp. 273-293 ◽  
Author(s):  
C. Gavrila ◽  
G. Feichtinger ◽  
G. Tragler ◽  
R.F. Hartl ◽  
P.M. Kort

1996 ◽  
Vol 104 (5) ◽  
pp. 1100-1104 ◽  
Author(s):  
Nilss Olekalns ◽  
Peter Bardsley

2001 ◽  
Vol 7 (2) ◽  
pp. 78-82
Author(s):  
John F.P. Bridges
Keyword(s):  

2006 ◽  
Vol 24 (3) ◽  
pp. 370-381 ◽  
Author(s):  
NATSUKO IWASAKI ◽  
CAROL HORTON TREMBLAY ◽  
VICTOR J. TREMBLAY

2006 ◽  
Vol 96 (4) ◽  
pp. 1013-1028 ◽  
Author(s):  
Jérôme Adda ◽  
Francesca Cornaglia

This paper analyses the compensatory behavior of smokers. Exploiting data on cotinine concentration—a metabolite of nicotine—measured in a large population of smokers over time, we show that smokers compensate for tax hikes by extracting more nicotine per cigarette. Our study makes two important contributions. First, as smoking a given cigarette more intensively is detrimental to health, our results question the usefulness of tax increases. Second, we develop a model of rational addiction where agents can also adjust their intensity of smoking, and we show that the previous empirical results suffer from estimation biases.


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