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Cigarette affordability in the United States
Priti Bandi1, Evan Blecher, Vilma Cokkinides
1Intramural Research Department, American Cancer Society, Atlanta, GA, USA. pb1349@nyu.edu
Summary
Cigarette affordability in the U.S. varied by state in 2010, with prices not keeping pace with income increases in some regions. State tobacco tax policies should consider affordability to maximize public health gains.
Area of Science:
- Public Health
- Health Economics
- Tobacco Control Policy
Background:
- Cigarette excise tax increases are proven to reduce smoking consumption and prevalence.
- International studies have defined cigarette affordability and its role in tobacco control.
- This study presents the first cigarette affordability estimates for U.S. states.
Purpose of the Study:
- To estimate cigarette affordability in U.S. states and nationally from 1970 to 2010.
- To analyze the relationship between cigarette prices, income levels, and affordability.
- To inform tobacco control policies, particularly state taxation strategies.
Main Methods:
- Defined cigarette affordability as the ratio of cigarette price to individual income.
- Estimated three distinct measures of cigarette affordability.
- Calculated affordability for U.S. states and the nation between 1970 and 2010.
Main Results:
- In 2010, 100 packs of cigarettes cost 1.62% of average U.S. disposable income.
- Purchasing a pack required 21.4 minutes of labor at the median wage and 32.7 minutes at the 25th percentile wage.
- Cigarettes were most affordable in the South and West, least in the Northeast; affordability remained stable 1970-2008, potentially increasing since 2000.
Conclusions:
- Cigarette affordability in 2010 significantly varied across U.S. states.
- Price increases did not consistently match income growth, particularly in Southern and Western states.
- State tobacco tax policies should incorporate affordability metrics to enhance public health outcomes.
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