Public finances and tobacco taxation with product variety : theory and application to Senegal and Nigeria

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IDL - 58828.pdf (592.77 KB)

Date

2019-02-14

Authors

Journal Title

Journal ISSN

Volume Title

Publisher

PLOS ONE

Abstract

Results of the study show that excise tax development does not have the same implications for the two countries. The price elasticity of tobacco demand is very high in Senegal, in contrast to Nigeria. Increasing tobacco taxes in Senegal strongly reduces demand, but also causes a decrease in tax revenues. While increasing taxes causes a lesser decline in demand in Nigeria, it could create a sharp increase in the country’s tax revenues. There is a specific threshold beyond which the tax increases cease to have a positive effect on tax revenues in Nigeria.

Description

Keywords

TAXATION, TOBACCO CONTROL, CIGARETTES, PRICING, NIGERIA, SENEGAL, SOUTH OF SAHARA

Citation

URI

http://hdl.handle.net/10625/58828

DOI

Collections

IDRC Research Results / Résultats de recherches du CRDI
2010-2019 / Années 2010-2019
Research Results (FEH) / Résultats de recherche (AES)
Tobacco use / Usage du tabac