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Published on: January 2, 2012
SMOKE-FREE ORDINANCES INCREASE RESTAURANT PROFIT AND VALUE
Benjamin C Alamar1, Stanton A Glantz
1Post Doctoral Fellow, Center for Tobacco Control Research and Education, University of California at San Francisco. Phone 415.476.3139, bala7450@itsa.ucsf.edu.
None:
This study estimates the economic value added to a restaurant by a smoke-free policy using regression analysis of the purchase price of restaurants, as a function of the presence of a smoke-free law and other control variables. There was a median increase of 16% (interquartile range 11% to 25%) in the sale price of a restaurant in a jurisdiction with a smoke-free law compared to a comparable restaurant in a community without such a law. This result indicates that, contrary to claims made by the tobacco industry and other opponents of smoke-free laws, these laws are associated with an increase in restaurant profitability.
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