The Effects of Cigarette Taxation on Consumption Behavior of ...

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  • Title: The Effects of Cigarette Taxation on Consumption Behavior of Different Income Groups
  • Author(s): Chavis Ketkaew , Phaninee Naruetharadhol, Matthew Foley
  • Publisher: Common Ground Research Networks
  • Collection: Common Ground Research Networks
  • Series: Organization Studies
  • Journal Title: Change Management: An International Journal
  • Keywords: Cigarette Taxes, Cigarette Consumption, Income Difference
  • Volume: 19
  • Issue: 2
  • Year: 2019
  • ISSN: 2327-798X (Print)
  • ISSN: 2327-9176 (Online)
  • DOI: https://doi.org/10.18848/2327-798X/CGP/v19i02/23-33
  • Citation: Ketkaew, Chavis, Phaninee Naruetharadhol, and Matthew Foley. 2019. "The Effects of Cigarette Taxation on Consumption Behavior of Different Income Groups." Change Management: An International Journal 19 (2): 23-33. doi:10.18848/2327-798X/CGP/v19i02/23-33.
  • Extent: 11 pages

Abstract

Many governments in recent years have sought to control the high public health costs of cigarette smoking as one of their fiscal mandates. This action has mainly been spurred by the health and economic implications of smoking. The purpose of this research particle is to explore the impact of the cigarette tax imposition on cigarette consumption in Khon Kaen city, Thailand. To achieve this purpose, the study uses primary sources of data. The methodology is based on a questionnaire method; survey questionnaires were used to explore cigarette consumption before and after the increase in cigarette taxes. The questionnaires define the income level and status of consumption. T-tests were used to analyze the data, especially to differentiate the mean of cigarette consumption. The results indicate that the implementation of this policy has had a significant effect on cigarette consumption. In particular, the most affected group is the low monthly income earners, making under 20,000 baht, which is expressed by a statistically significant reduction of cigarette consumption over the year. The research concludes that there is a major significance pre and post-tax on tobacco consumption in each level of income. Thus, government’s attempt to reduce cigarettes consumption could be considered very effective because it has resulted in the general reduction of cigarette consumption in Khon Kaen.