Forgone Earnings from Smoking : Evidence for a Developing Country

The authors estimate the economic losses related to the negative effect of smoking on wages in a context of a developing country. Using data from the 2005 Albania Living Standards Monitoring Survey, they jointly estimate a system of three equations: the smoking decision and two separate wage equations for smokers and nonsmokers. The results show that, after controlling for observed characteristics and taking into account unobserved heterogeneity in personal characteristics, smoking has a substantial negative impact on wages. On average smokers' wages are 20 percent lower than the wages of similar nonsmokers, providing strong evidence for the potential policy relevance of tobacco control initiatives for developing countries.

Bibliographic Details

Main Authors:	Lokshin, Michael, Beegle, Kathleen
Format:	Policy Research Working Paper biblioteca
Language:	English en_US
Published:	World Bank, Washington, DC 2006-10
Subjects:	ADDICTION, ADDICTIVE NATURE, ADDICTIVE NATURE OF SMOKING, ADULTHOOD, ADVERSE HEALTH, ADVERSE HEALTH EFFECT, AGGRESSIVE, ALCOHOL, ALCOHOL CONSUMPTION, ALCOHOL USE, ALGORITHM, ANTI-SMOKING CAMPAIGNS, CAREGIVERS, CHRONIC DISEASES, CIGARETTE, CIGARETTE CONSUMPTION, CIGARETTE SMOKING, CIGARETTES, CONSUMPTION OF TOBACCO, CURRENT SMOKERS, DEPENDENCE, DISEASE, DISEASE CONTROL, EARLY ADOLESCENCE, EARLY ADOLESCENT, ECONOMIC COSTS, ECONOMIC LOSSES, ECONOMICS OF TOBACCO CONTROL, EFFECT OF ALCOHOL, EPIDEMIC, EX-SMOKER, FEMALES, FIRE INSURANCE PREMIUMS, GIRLS, HEALTH CARE, HEALTH EFFECTS, HEALTH PROMOTION, HEALTH-CARE COSTS, ILLNESSES, INDIVIDUAL CHARACTERISTICS, MALE SMOKERS, MARITAL STATUS, NEGATIVE EFFECTS, NICOTINE, NICOTINE CONTENT, OCCUPATIONAL MEDICINE, OVERWEIGHT, PARENTAL EDUCATION, PARENTAL INFLUENCE, PARENTAL SMOKING, PATIENTS, POLLUTION, PREMATURE DEATH, PREVENTING TOBACCO USE, PREVENTIVE MEDICINE, PRICE OF TOBACCO, PUBLIC HEALTH, PUBLIC SPACES, RELIGIOUS BELIEFS, RESPIRATORY DISEASES, RESPIRATORY INFECTIONS, SMOKE-FREE WORKPLACE, SMOKER, SMOKERS, SMOKING, SMOKING BEHAVIOR, SMOKING CESSATION, SMOKING EXPOSURE, SMOKING IN PUBLIC, SMOKING POLICIES, SMOKING PREVALENCE, SMOKING PREVENTION, SOCIAL MEDICINE, SOCIAL NORMS, SOCIAL SERVICES, STD, SUBSTANCE USE, SURGERY, TOBACCO, TOBACCO CONTROL, TOBACCO CONTROL INITIATIVES, TOBACCO CONTROL PROGRAM, TOBACCO INDUSTRY, TOBACCO PRODUCTION, TOBACCO PRODUCTS, TOBACCO USE, TREATMENT, VENTILATION, WESTERN EUROPE, WORKERS, WORKPLACE, YOUNG MEN, YOUNG PEOPLE, YOUNG SMOKERS, YOUNG WORKERS,
Online Access:	http://documents.worldbank.org/curated/en/2006/10/7094984/forgone-earnings-smoking-evidence-developing-country http://hdl.handle.net/10986/9274
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