Individual Self-control and Collective Outcomes: An Examination of Cigarette Addiction and Taxes

Authors

Khawaja Mamun, Sacred Heart UniversityFollow
Lorán Chollete, Sacred Heart UniversityFollow

Document Type

Peer-Reviewed Article

Publication Date

2-2023

Abstract

Can individual self-control problems affect policy variables? And if so, through what type of channels? Building on recent literature in political economy, we explore a specific channel that allows for links between individual addiction and state taxes. We develop a theoretical lobbying model to explain the role of addiction in the political process of cigarette taxation. Our model shows that equilibrium cigarette taxes are determined by the average addiction level in society, corruption, and their interaction. Our results suggest a potential impact of individual self-control issues in the process of government policy.

Comments

First published: 30 May 2022.

JEL Classification: D72; D73; D78; H2; H7; I18

DOI

10.1111/sjpe.12329

Recommended Citation

Mamun, K. A., & Chollete, L. (2023). Individual self-control and collective outcomes: An examination of cigarette addiction and taxes. Scottish Journal of Political Economy, 70(1), 1-18. Doi: 10.1111/sjpe.12329