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Published on: October 22, 2020
Cigarette smoking and poverty in China
Yuanli Liu1, Keqin Rao, Teh-Wei Hu
1Harvard School of Public Health, Harvard University Cambridge, MA, USA. yuanliu@hsph.harvard.edu
Social Science & Medicine (1982)
|September 9, 2006
Summary
Smoking-related expenses in China significantly increase poverty. Both medical costs and direct cigarette spending push millions into poverty, highlighting smoking reduction as a key poverty alleviation strategy.
Area of Science:
- Public Health
- Health Economics
- Poverty Studies
Background:
- Smoking imposes significant financial burdens through medical expenses and direct consumption.
- Understanding the poverty impact of smoking is crucial for effective public policy in China.
Purpose of the Study:
- To estimate the poverty impact of smoking-related expenses in China.
- To differentiate the effects of excessive medical spending and direct cigarette expenditure on poverty.
Main Methods:
- Utilized 1998 China National Health Services Survey data.
- Employed regression analysis to estimate smoking-attributable medical expenditure.
- Measured poverty impact by changes in poverty headcount after subtracting smoking-related costs from income.
Main Results:
- Excessive medical spending due to smoking increased poverty rates by 1.5% (urban) and 0.7% (rural).
- Direct cigarette spending raised urban poverty by 6.4% and rural poverty by 1.9%.
- Combined expenses impoverished an estimated 30.5 million urban and 23.7 million rural residents.
Conclusions:
- Smoking-related expenses are a significant driver of poverty in China.
- Reducing smoking rates serves as both a public health and poverty reduction strategy.
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