RT Journal Article
SR Electronic
T1 Estimating the Impact of Large Cigarette Tax Hikes
JF Journal of Human Resources
JO J Hum Resour
FD University of Wisconsin Press
SP 373
OP 392
DO 10.3368/jhr.XL.2.373
VO XL
IS 2
A1 Diana S. Lien
A1 William N. Evans
YR 2005
UL http://jhr.uwpress.org/content/XL/2/373.abstract
AB Using a statistical matching procedure to choose control groups, we find that four states that adopted large cigarette tax hikes had corresponding decreases in smoking participation of pregnant women. Using the tax hike as an instrument for smoking in birth-weight equations and pooling data across experiments, we find that smoking during pregnancy doubles the chance an infant is born with a low birth weight. Our estimates are similar to single-equation estimates where maternal smoking is treated as exogenous.