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KMID : 0387319990090030053
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Korean Journal of Health Policy and Administration
1999 Volume.9 No. 3 p.53 ~ p.69
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Are Korean Smokers Rational Addicts?
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Lee Jong-Kuk
Kong Moon-Kee
Lee Hoe-Kyung
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Abstract
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In this study, we present a modified rational addiction model which incorporates social-psychological factors. This is done through a utility function which includes social-psychological factors as its component. We apply this model to a cigarette consumption function in Korea using the data from the Korean Household Panel Study(KHPS). The results provide relatively strong support for the rational addiction model. However, the impact of social-psychological factors and the short-run and long-run price elasticities are statistically insignificant.
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KEYWORD
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Rational Addiction, Smoking, Price Elasticity
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