After the war, many of those excise taxes were repealed but the tax on tobacco remained. In April 2012, Lorillard purchased privately held electronic cigarette company, https://www.vapediy.fr/e-liquide-lemon-tart-dinner-lady-50ml blu eCigs, for $135 million in cash, marking the first foray by the tobacco trade into the electronic cigarette market. By 2013, there were several million users globally. In 2018, it was estimated that there were 35 million e-cigarette customers globally (together with heat-not-burn tobacco products), with this speedy development predicted to continue.
The sale was valued at roughly $740 million. In line with Nobel Prize-successful economist Gary Becker, who has studied the lengthy-run value elasticity of cigarettes, https://www.vapeacheter.fr/liquideo-e-liquide-4yr-10ml-pas-cher-et-livraison-gratuite the tax increase as a result of the Children’s Health insurance Program Reauthorization Act increases the value of cigarettes 13.3% which ultimately means a 10.6% decrease in unit sales. The increase was to help cover the value of elevated protection below the State Children’s Health Insurance Program (SCHIP).
Therefore, using policy variation is an improvement over much of the present e-cigarette analysis thus far that fails to separate the causal impact of e-cigarette use from preferences to gradually increase the riskiness of tobacco product use over time. This contrasts with a lot of the literature not using policy variation and spuriously concluding that e-cigarettes are gateways to subsequent cigarette use, which does not align with observed patterns of tobacco use.
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