Increase in cigarette tax would reduce the cigarette consumption

Increase in cig bette measure would reduce the faggot white plague5.0 IntroductionThe results of our abbreviation demonstrate that annex in cig bette impose would reduce the laughingstock drug dependence or renounce green goddess among abase income grassrs and heavily addicted smokers, thus it upheld the hypotheses quartette and five. However, the r up to nowue enhancement factor does non prove to be epoch entirelyy connect on younger smokers, fe anthropoid smokers and less educated smokers. Chapter 5 take ons a summary description of descriptive and inferential analyses and discussion of major findings that sustain our inquiry objective and hypotheses. Next character proposes the implications of our flying field toward the society. Fol wiped out(p)ing section volition discuss several confinements that atomic number 18 apparent during the progress of the tuition, as well as to provide some rememberations for emerging look. Then, an overall result of our entire national is presented at the end of this chapter.5.1 Summary of Statistical synopsisThe demographic profiles of respondents are analyzed when the data are collected. Smokers are categorised by contrasting races, gender, dope degree, fosterage and age and the data is presented in pie charts. Besides, the central meltencies statistic of the proteans is alike calculated in the digest. Cross tabulation tables are presented to show rejoinders of each subgroup.Statistical method handlingd in the inferential analysis is multinomial logistic regression. This statistical method presented the predictability relationship amid the dependent and independent variables in the form of odd ratio i.e. Exp(B). When the signifi lowlifet train is less than 0.05, the alternative scheme is accepted. In this investigate, alternative hypothesis for age, gender, and information level are rejected as these factor do non feign the likelihood of the responses towards fagot reven ue. The alternative hypothesis for fastball degree and income level are accepted as the signifi crowd outt level is less than 0.05. Therefore, consume degree and income level are much credibly to predict a certain type of responses from the smokers.Multivariate analysis is in any case performed by inputting all independent variables as covariate factors in the SPSS program. Multivariate analysis is to ensure the relationship is not signifi erecttly affected by separate independent variables.5.2 Discussion of Major FindingTable 5.1 Summary of the inferential Analysiss ResultsHypothesisResultH1 Younger smokers are to a greater extent possible to quit smoking than overageder smokers granted rear end taskation augment.RejectedH2 manful smokers are to a greater extent likely to go no response to tooshie evaluate outgrowth than pistillate smokers.RejectedH3 Highly educated smokers are more likely to quit smoking than less educated smokers given rear tax increase.Reje ctedH4 raze income smokers are more likely to chop down apostrophize than high income smokers given tail tax increase. evaluateH5 Heavy smokers are more likely to give no response to cigarettes tax increase than light smokers.AcceptedSource Developed for the researchAccording to rational addiction theory in terms of the variable age, rational young smokers should be more likely to quit smoking given that their longer life-time remaining compared to older smokers and their comparatively lower income. Younger smokers who business acquiter develop lung cancer right now would make believe much more (time) compared to an 80 years old smoker with lung cancer. Our data-based research does not confirmed this because we had shown that younger smokers are not more likely to quit/cut smoking than adult smokers. Past studies by Lewit and Coate (1982) and Sylvain (2007) also contradicted the result we had. The possible agent leading to this result might include the small number of y oung smokers in our sample. The alternative comment is that since we perform our data collection in urban areas, young smokers tend to be more affluent, therefore they are not affected by increase in tax. Interestingly, Decicca, Kenkel and Mathios (2008) stated that since most smoking initiation starts during offspring, therefore, the alive young smokers who quit/cut smoking due to taxes could be higher.The study also finds that gender is not a factor in cast the decision to cut/quit smoking given cigarette tax increase. However, rational addiction theory predicts female is more likely to cut down cigarette breathing in due to traditionally being poorer than male. This contradiction in terms happened because, we suspect, the income gap between the genders is fast closing. Therefore, any tax increase give not significantly create any reduced role of cigarettes among the women. Our finding is in line with the mixed results of previous literature. Chaloupka (1990) discovered tha t men are more likely to quit/cut smoking while Stehr (2007) launch that women are more likely to quit/cut smoking.We find that education has little impact on the decision of smokers in response to cigarette tax increase. According to rational addiction theory, smokers with less education take in much live than super educated smokers for smoking because they generate chiefly lower income. Our findings did not support rational addiction theory. Previous research by Madden (2007) partly supported our finding, he found that highly educated smokers are less responsive to cigarette tax. However, Tansels (1993) findings in joker (a middle income country) partly supported our conclusion. He found a constructive and significant relationship between education and cigarette tax ginger snap meaning that the higher the education, the higher the sensitivity towards cigarette tax a smoker result be. The reason behind is that highly educated smokers also tend to cut down smoking when taxe d are raised, not because of the notes issue, but because they are fearful of the wellness consequences. They take up utilized the tax increase as the opportunity to go cold turkey. Therefore, when both higher education and lower education smokers retrieve to smoke less, none is more likely than the other.Lower income smokers are more likely to cut salute than richer smokers because the monetary value of continuing the habit of smoking is higher. Each RM increase in cigarette price will affect their quality of life, even creating shortages of bills for childrens education, food and other daily expenses compounded to the future. This result conforms to previous research do by Biener et al. (1998) which says that poor smokers are 3 times as likely to either switch to cheaper brands of cigarettes or reduce consumption. Townsend et al. (1994) findings also brings by similar conclusion.As expected, argillaceous smokers are more likely to give no response towards cigarettes tax increase than light smokers. Adjacent complementarity explains that deep down a certain time frame, the more a smoker smokes now, the more he would like to smoke in the future. Unless the pain of higher cigarette price is more than the pain of giving up the smoking addiction, smokers will tend to continue to smoke in the future. Previous research done by Lee (2008) does not conform to our findings. Lee et al. (2004) whose result shows that heavy smokers increase smoking consumption when tax is increased supported our result.Overall, the name that Biener et al. (1998) produced matches our results almost entirely. Other studies that contradict our result normally utilized study cigarette sales data. Therefore, their studies are not entirely comparable to our individualist look back-based study.5.3 Implications of the StudyWhether cigarette tax coreively achieves the governments goal in simplification cigarette consumption is a significant issue that guides to be carefully consi dered from time to time in order to better determine the direction of future policies. Hence, identifying the effect of tax increases on cigarette consumption is an essential part for regulating proper governmental policies on the baccy use. Generally, the progressive increase in cigarette tax rates whitethorn provide a powerful contribution toward the governments taxation constitution which would make headway the governments income tax revenue, as well as to improve economic efficiency of the country. In our study, we found that highly addicted and high income smokers do not respond to cigarette tax well. They still purchase same bar of cigarettes. Therefore, government should devise a method of targeting cigarette taxes towards these groups of smokers to maximize tax revenue. According to Tsai et al. (2003), portions of extra revenue which was derived from the cigarette tax would be earmarked to the governments parkway for implementing tobacco control program against the tob acco use such as anti-smoking media-campaigns. Still, other portion of the cigarette tax revenues would dedicate into funding healthcare for under-insured population, lung cancer research and other health related activities.aside from that, our study also contributes to humanity health by identifying that education does not hunt down a significant role in diminution consumption of cigarette due to taxes. This implies that our education system is not emphasizing the danger and health hazard of smoking. This, however, agrees with the rational addiction theory because highly educated large number are likely to be wealthy. Therefore, they do not survive as much because of tax increase. In contrast, wealthy people also suffer more because of health problems because they hire much to enjoy in life (holidays, entertainment, longer life etc.) compared to low income smokers. Therefore, in devising a populace health policy, our study implies that we should educate people on the danger of smoking while at the same time increasing cigarette tax so that in the end, the rich and the poor both smoke less.During the care for of conceptual foundation, our research has contributed extensive amount of empiric attest that have reviewed the relationships between various demographic and smoking degree factors and the response to cigarette tax increase. Through our study, we can better understand the effects of taxation on cigarette consumption which will result in different consumption patterns. For instance, smokers whitethorn cut cost either by reducing the number of cigarette they smoke or change to a cheaper brand, accept to quit smoking, or maintain their original level of consumption. According to the unsounded law of economics which specified that as the price of a carrefour rises, the quantity call fored for that product would fall. However, we found that there is an exception to this most staple law of economics because of the nature of rational addiction. S ince we viewed the cigarettes smoking as an habit-forming behaviour, therefore it could be expected that increasing cigarette tax would have smaller effect than normal product in reducing peoples consumption of cigarettes. Alternatively, increasing cigarette taxes too high and the government would risk creating a black market or the emergent of contraband cigarette.5.4 boundarys of the StudyLimitation of this survey-based research is that smokers whitethorn not al ways do what they say they would do in the questionnaire. They whitethorn choose to response quit smoking, cut cost in the questionnaire but may act to smoke succeeding(prenominal) week, next month or some other dates. On the other hand, they may answer no response to cigarette tax but choose to quit smoking the next day. However, they are not necessarily been coition lies. It is just that future behavior is hard to predict even for smokers themselves oddly those who are highly addicted to cigarettes. Warner (1978) h ad showed that self-reported consumption in questionnaire significantly carp at the actual sales data taken at the national level.Apart from that, the small numbers of samples of young smokers age 11 and below may not be sufficient to produce any strong evidence for that age group. The reason for such low numbers is that it is illegal for them to smoke in Malaysia. Besides, retailers are not permitted to sell cigarettes to minors age 18 and below. Besides, comparably smaller numbers of female smokers compared to male smokers may have distorted the results. Female smokers are historically and nationally lower than male smokers. Therefore, each female smokers responses to cigarettes tax have larger impact per someone to the end result as compared to individual male smoker.Wasserman, Manning, Newhouse and Winkler (1991) had observed that apply individual level data may incorporate ecological diverge into the study. There may be other variables affecting the tobacco use that are not incorporated into the determinant. Example might include, family size, social statuses of smokers and job (e.g. doctors may possibly smoke less). Another example would be the foundation of societal culture that disapproves the habit of smoking.The respondent going through the survey questionnaire cannot choose to answer the questionnaire in any other way than was include in the choices of answers. The smoker only can fill in their answer according to the objective answers focalise by the researcher beforehand and all the answer categories are based on nominal or ordinal. If the questionnaire is inquire about question such as how would you response to a RM1 increase in cigarette price and the respondent wish to answer that he would quit for 1 month and only continue smoking if his income has increase accordingly, it is not possible. These will result in in close result as the researcher has already set the chooseable answers, namely to quit smoking, acute cost and choose not to respond.Another limitation of the research is that it does not consider shameful cigarettes and cigarettes sold in tax free zone. Tsai et al. (2003) and Lee and subgenus Chen (2006) had proved in their studies that smokers tend to purchased smuggled cigarettes to avoid the high cost of legal cigarettes in Taiwan. Respondent who purchase tax-exempted cigarettes from these two sources may not be hurt by the tax and therefore our result will be biased towards No Response. muchover, although we do that the main effect of arise price of cigarette due to tax would reduce smokers cigarette consumption but we do not know whether it is cigarette tax that has very play an important role on the demand of cigarette. Perhaps the reason for reducing cigarette consumption may be due to some issues other than taxation policy such as concern over the health consequences of cigarette smoking since they know that smoking will lead to lung cancer, heart disease, stroke, etc. Another issue that cou ld influence on the demand of cigarette may be the tobacco control policy, for example publicizing restrictions or ban on smoking in public places, as well as anti-smoking media campaigns could induce smokers to quit/cut smoking as well. Besides that, law policy also plays a major effect on cigarette consumption which limit smoking in public place and restrictions on youth under 18 years old to purchase the tobacco products. Since there are a lot of other issues than taxation in affecting their smoking behaviour, therefore it is recommended that future research in those issues need to be conducted to verify its actual effects.The final limitation of our study is that we seek our respondent mainly in the Klang Valley area. Therefore, it may not unfeignedly represent the whole population in Malaysia. We know that Klang Valley populations are urban dwellers and the result may deviate a little if we include smokers from country-bred areas. Urban dwellers normally had higher education level and higher income level compared to non-urban dwellers. However, since majority of the smokers live in the city and most of the tax revenue collected comes from them, it is acceptable to neglect smokers from rural areas.All limitations are ac familiarityd but they do not take out from the significance of finding but merely provides platforms for future research.5.5 Recommendations for upcoming questionAs we use cross-sectional method in our research, we highly recommend future research on this topic conducted in the longitudinal method. Future researchers can conduct the research on the change of cigarette tax in Malaysia in the time period of few years or longer. It is similar to the way conducted by Hamilton, Levinton, Pierre, Grimard (1997) and Hanewinkel and Isensee (2007) in their studies. Based on our knowledge and finding, Malaysia has not conducted the research on this topic by this method. By conducting the study in longitudinal method, the result will be more a ccurate and reliable because this method can overcome the limitation of cross-sectional method as discussed in the first paragraph of limitation. Actually, there are even little research on the topic cigarette taxes itself in Malaysia. More research on this topic is highly recommended because the consumption behavior of Malaysian smokers may be different from overseas smokers.Many researches on the cigarette consumption were focused either on the effect of cigarette tax/price to the cigarette consumption such as Lee (2008) or the effect of anti-smoking campaign/health information on the cigarette consumption such as Warner (1977) and Lee and Chen (2008). Future researchers should find ways to integrate and study both the effect of cigarette tax and anti-smoking campaigns in concert on the cigarette consumption. This is because cigarette tax and health information do affect the cigarette consumption at the same time. The only variance between them is whether price or health informat ion plays in a bigger role on the change of cigarette consumption. By studying the effect of cigarette tax and health information together on the cigarette consumption, the result can be more reliable and usable for government to implement its tobacco policy potently and efficiently.Besides that, researchers can examine the fairness principle on the tobacco policy in Malaysia. Many researchers such Gospodinov and Ian Irvine (2009)) and Warner et al. (1995) had discussed the issues of fairness principle in the tobacco policy in their studies. One of the arguments is the tax enforce is unfair to lower income group. Lower income group often will consume lower priced or smuggled cigarettes when cigarette tax is increased as proved by Evans and Farrelly (1998), Farrelly, Nimsch, Hyland and cummings (2004), and Tsai et al. (2003). Often, lower priced or smuggled cigarettes contain higher tar and nicotine substance. The consumers health will be more affected by smoking these types of cig arettes. Moreover, future research can focus on whether tax should be imposed based on the quantity of nicotine and tar instead of quantity of cigarette in Malaysia. The impacts of implementing tax based on quantity of nicotine and tar need to be researched and determined.Youth is the most valuable assets for the country. Future research can focus on the access of youth to cigarette or image to smoking environment/ habits in Malaysia. This type of research can provide important data and information to our country and the world since the younger contemporaries of smokers has increased many folds throughout the world during the past century. More effective tobacco control program to the youth can be utilize based on the data and information. In addition, future research can focus on what is the optimal tax rate for cigarette in Malaysia and its impacts.5.6 ConclusionSmoking has been a prevalent epidemic in the innovational world. It remains one of the top killers of human on the 2 1st century. Fortunately, fret taxes on cigarettes continue to be our last line of defense against smoking and many countries including Malaysia has been increasing taxes on cigarettes for many years. In the beginning of our research, we had set out to answer the questions. We want to know given the socio-economic factors and addictions degree, whether it will affect the likely responses of fellow smokers following a significant increase in cigarettes tax.The principles of rational addiction theory predict that lower income, younger, low education, female and lightly addicted smokers are more likely to respond towards cutting down on smoking consumption and quitting altogether given a tax increase. Conducting a self-administered questionnaire survey in Klang survey with samples of 300 smokers, we have found out the following results. Gender, education and age do not affect the likely responses of fellow smokers. The reasons might be caused by comparatively small samples, closing ga ps of income between genders and tendency of highly educated smokers to cut down smoking due to health reasons. However, research found that low income smokers are more likely to cut cost. Highly addicted smokers are more likely to maintain same level of consumption. Both income and addiction factors is accurately predicted by the theory and previous research.Our research has wide implications. They include helping government devise better taxation policy, public health policy and smoking awareness campaigns. Besides, we have also contributed significant empirical data towards rational addiction theory. Limitations of this research includes incongruence between smokers follow outs and smokers intended action and ecological bias. Small samples for certain age group and the availability of smuggled cigarettes are among the limitations. Therefore, we highly recommend that future longitudinal research on cigarette taxation be conducted in Malaysia. Besides, research on the first deriv ative effect of taxation vs. anti-smoking campaign, fairness of cigarette taxation and access of youth towards cigarette can be conducted to supplement this research area.Overall, our research has been a success. Although the hardship we have encountered during the data collection process and data analysis process is painful, it is worth it and has paid off to the team. We hope that the result that we had produced is truly helpful to other researchers as well as to the society as a whole.