Exploring the Demand for Cigarettes: An Analysis of Adults in Malaysia
Smoking is an alarming public health issue in today’s rapidly urbanising society. The objective of the present study is to investigate factors associated with the demand for cigarettes among adults in Malaysia, i.e., an ASEAN country. Statistical analyses were performed using nationally representative data with a large sample. In terms of multivariate analysis, a Tobit model was used to examine the effects of sociodemographic factors on expenditure on cigarettes. Both conditional and unconditional expectations were estimated. We found that age, gender, wealth index, education and house locality were significantly associated with expenditure on cigarettes. The elderly spent less on cigarettes compared with young adults. Males and less-educated individuals spent more on cigarettes than females and well-educated individuals. There was a positive relationship between residing in urban areas and cigarettes expenditure. In conclusion, sociodemographic factors play an important role in determining the demand for cigarettes. Findings of the present study show that a successful anti-smoking policy should be targeted primarily at individuals who spend a large amount of money on cigarettes.
Alam, A. Y., Iqbal, A., Mohamud, K. B., Laporte, R. E., Ahmed, A., & Nishtar, S. (2008). Investigating socio-economic-demographic determinants of tobacco use in Rawalpindi, Pakistan. BMC Public Health, 8(50), 1-9. https://doi.org/10.1186/1471-2458-8-50
Aristei, D., & Pieroni, L. (2008). A double-hurdle approach to modeling tobacco consumption in Italy. Applied Economics, 40(19), 2463-2476. https://doi.org/10.1080/00036840600970229
Bauer, T., Gohlmann, S., & Sinning, M. (2007). Gender differences in smoking behavior. Health Economics, 16(9), 895-909. https://doi.org/10.1002/hec.1259
Bilgic, A., Florkowski, W. J., & Akbay, C. (2010). Demand for cigarettes in Turkey: An application of count data models. Empirical Economics, 39(3), 733-765. https://doi.org/10.1007/s00181-009-0320-8
Cawley, J., & Ruhm, C. J. (2012). The economics of risky behaviors. In M. V. Pauly, T. G. Mcguire and P. P. Barros (Eds.), Handbook of Health Economics (Vol. 2, pp. 95-199). New York: Elsevier. https://doi.org/10.3386/w17081
Cheah, Y. K. (2012). The determinants of being a cigarette smoker: An exploratory study in Penang, Malaysia. International Journal of Business and Society, 13(3), 245-254.
Cheah, Y. K., & Naidu, B. M. (2012). Exploring factors influencing smoking behaviour in Malaysia. Asian Pacific Journal of Cancer Prevention, 13(4), 1125-1130. https://doi.org/10.7314/APJCP.2012.13.4.1125
Cho, H. J., Khang, Y. H., Jun, H. J., & Kawachi, I. (2008). Marital status and smoking in Korea: The influence of gender and age. Social Science and Medicine, 66(3), 609-619. https://doi.org/10.1016/j.socscimed.2007.10.005
Croson, R., & Gneezy, U. (2009). Gender differences in preferences. Journal of Economic Literature, 47(2), 448-474. https://doi.org/10.1257/jel.47.2.448
Currie, J., & Moretti, E. (2003). Mother's education and the intergenerational transmission of human capital: Evidence from college openings. Quarterly Journal of Economics, 118(4), 1495-1532. https://doi.org/10.1162/003355303322552856
Cutler, D. M., & Lleras-Muney, A. (2010). Understanding differences in health behaviors by education. Journal of Health Economics, 29(1), 1-28. https://doi.org/10.1016/j.jhealeco.2009.10.003
de Walque, D. (2007). Does education affect smoking behaviors? Evidence using the Vietnam draft as an instrument for college education. Journal of Health Economics, 26(5), 877-895. https://doi.org/10.1016/j.jhealeco.2006.12.005
Fuchs, V. R. (1982). Time preference and health: An exploratory study. In V. R. Fuchs (Ed.), Economic Aspects of Health (pp.93-120). Chicago, U.S: University of Chicago Press.
Gallet, C. A., & List, J. A. (2003). Cigarette demand: A meta-analysis of elasticities. Health Economics, 12(10), 821-835. https://doi.org/10.1002/hec.765
Grimard, F., & Parent, D. (2007). Education and smoking: Were Vietnam war draft avoiders also more likely to avoid smoking? Journal of Health Economics, 26(5), 896-926. https://doi.org/10.1016/j.jhealeco.2007.03.004
Grossman, M. (1972). On the concept of health capital and the demand for health. Journal of Political Economy, 80(2), 223-255. https://doi.org/10.1086/259880
Grossman, M. (2000). The Human Capital Model. In A. J. Culyer. & J. P. Newhouse (Eds.), Handbook of Health Economics (Vol. 1, pp. 347-408). New York: Elsevier. https://doi.org/10.1016/S1574-0064(00)80166-3
Hersch, J. (2000). Gender, income levels, and the demand for cigarettes. Journal of Risk and Uncertainty, 21(2-3), 263-282. https://doi.org/10.1023/A:1007815524843
Institute for Public Health (2012). Report of the Global Adult Tobacco Survey (GATS) Malaysia, 2011. Putrajaya: Ministry of Health Malaysia.
Institute for Public Health (2008). The Third National Health and Morbidity Survey (NHMS III) 2006. Putrajaya: Ministry of Health Malaysia.
Kenkel, D. S. (1991). Health behaviour, health knowledge, and schooling. Journal of Political Economy, 99(2), 287-305. https://doi.org/10.1086/261751
Lee, Y. M. (2012). Liow: New rules for cigarettes. The Star. https://www.thestar.com.my/news/nation/2012/08/14/liow-new-rules-for-cigarettes
Li, L. H., Pei, H. P., Huey, T. C., Cheong, K. C., Ghazali, S. M., Hock, L. K., & Hui, L. J. (2020). Prevalence of smoking and its associated risk factors among secondary school students in Kelantan, Malaysia. Malaysian Journal of Medicine and Health Sciences, 16(1), 44-50.
Lim, H. K., Ghazali, S. M., Kee, C. C., Lim, K. K., Chan, Y. Y., Teh, H. C., Yusoff, A. F. M., Kaur, G., Zain, Z. M., Mohamad, M. H. N., & Salleh, S. (2013). Epidemiology of smoking among Malaysian adult males: Prevalence and associated factors. BMC Public Health, 13(1), 1-10. https://doi.org/10.1186/1471-2458-13-8
Lim, K. H., Lim, H. L., Teh, C. H., Kee, C. C., Khoo, Y. Y., Ganapathy, S. S., Ling, M. Y. J., Mohd Ghazali, S., & Tee, E. O. (2017). Smoking among school-going adolescents in selected secondary schools in Peninsular Malaysia- findings from the Malaysian Adolescent Health Risk Behaviour (MyaHRB) study. Tobacco Induced Diseases, 15(1), 1-8. https://doi.org/10.1186/s12971-016-0108-5
Lim, K. H., Sumarni, M. G., Amal, N. M., Hanjeet, K., Wan Rozita, W. M., & Norhamimah, A. (2009). Tobacco use, knowledge and attitude among Malaysians age 18 and above. Tropical Biomedicine, 26(1), 92-99.
Lin, S. J. (2010). Estimating the determinants of smoking behavior in Taiwan. Substance Use and Misuse, 45(4), 482-495. https://doi.org/10.3109/10826080903498929
Manrique, J., & Jensen, H. H. (2004). Consumption of tobacco and alcoholic beverages among Spanish consumers. Southwestern Economic Review, 31, 41-56.
Mohamed, M. H. N. (2012). Time to increase tax on cigarettes. The Star. https://www.thestar.com.my/opinion/letters/2012/09/21/time-to-increase-tax-on-cigarettes
Nur Atikah, A. H., Wee, L. H., Nur Zakiah, M. S., Chan, C. M. H., Mohamed Haniki, N. M., Swinderjit, J. S., & Siau, C. S. (2019). Factors associated with different smoking statuses among Malaysian adolescent smokers: A cross-sectional study. BMC Public Health, 19(S4), 579. https://doi.org/10.1186/s12889-019-6857-3
Raptou, E., Mattas, K., Tsakiridou, E., & Katrakilidis, C. (2005). Factors affecting cigarette demand. International Advances in Economic Research, 11(3), 275-290. https://doi.org/10.1007/s11294-005-6657-7
Rutstein, S. O., & Johnson, K. (2004). The DHS Wealth Index. DHS Comparative Reports No. 6. Calverton, Maryland: ORC Macro.
Tan, A. K. G. (2012). Distinguishing between non-smokers, casual smokers, and compulsive smokers: Evidence from Malaysia. Atlantic Economic Journal, 40(2), 173-184. https://doi.org/10.1007/s11293-012-9309-3
Tan, Q. Y., Zomer, E., Owen, A. J., Chin, K. L., & Liew, D. (2020). Impact of tobacco use on health and work productivity in Malaysia. Tobacco Control, 29(1), 111-117. https://doi.org/10.1136/tobaccocontrol-2018-054677
Thakur, J. S., Garg, R., Narain, J. P., & Menabde, N. (2011). Tobacco use: A major risk factor for non communicable diseases in South-East Asia region. Indian Journal of Public Health, 55(3), 155-160. https://doi.org/10.4103/0019-557X.89943
Tobin, J. (1958). Estimation of relationships for limited dependent variables. Econometrica, 26(1), 24-36. https://doi.org/10.2307/1907382
van der Pol, M. (2011). Health, education and time preference. Health Economics, 20(8), 917-929. https://doi.org/10.1002/hec.1655
Wooldridge, J. M. (2010). Econometric analysis of cross section and panel data, 2nd ed. Cambridge, MA: MIT Press.
World Health Organization. (2011). WHO report on the global tobacco epidemic, 2011: Warning about the dangers of tobacco. Geneva: World Health Organization. https://apps.who.int/tobacco/global_report/2011/en/index.html
World Health Organization. (2012a). Factsheet: Tobacco. Retrieved January 15, 2019, from http://www.who.int/mediacentre/factsheets/fs339/en/index.html
World Health Organization. (2012b). Malaysia releases its first Global Adult Tobacco Survey. Retrieved January 15, 2019, from http://www.wpro.who.int/mediacentre/releases/2012/20120613/en/index.html
Yen, S. T. (2005). Zero observations and gender differences in cigarette consumption. Applied Economics, 37(16), 1839-1846. https://doi.org/10.1080/00036840500214322
Zawahir, S., Omar, M., Awang, R., Yong, H. H., Borland, R., Sirirassamee, B., Fong, G. T., & Hammond, D. (2013). Effectiveness of antismoking media messages and education among adolescents in Malaysia and Thailand: Findings from the international tobacco control Southeast Asia Project. Nicotine and Tobacco Research, 15(2), 482-491. https://doi.org/10.1093/ntr/nts161
Copyright (c) 2021 Yong-Kang Cheah
This work is licensed under a Creative Commons Attribution-NonCommercial-ShareAlike 4.0 International License.
Copyright Transfer Statement for Journal
1) In signing this statement, the author(s) grant UNIMAS Publisher an exclusive license to publish their original research papers. The author(s) also grant UNIMAS Publisher permission to reproduce, recreate, translate, extract or summarize, and to distribute and display in any forms, formats, and media. The author(s) can reuse their papers in their future printed work without first requiring permission from UNIMAS Publisher, provided that the author(s) acknowledge and reference publication in the Journal.
2) For open access articles, the author(s) agree that their articles published under UNIMAS Publisher are distributed under the terms of the CC-BY-NC-SA (Creative Commons Attribution-Non Commercial-Share Alike 4.0 International License) which permits unrestricted use, distribution, and reproduction in any medium, for non-commercial purposes, provided the original work of the author(s) is properly cited.
3) For subscription articles, the author(s) agree that UNIMAS Publisher holds copyright, or an exclusive license to publish. Readers or users may view, download, print, and copy the content, for academic purposes, subject to the following conditions of use: (a) any reuse of materials is subject to permission from UNIMAS Publisher; (b) archived materials may only be used for academic research; (c) archived materials may not be used for commercial purposes, which include but not limited to monetary compensation by means of sale, resale, license, transfer of copyright, loan, etc.; and (d) archived materials may not be re-published in any part, either in print or online.
4) The author(s) is/are responsible to ensure his or her or their submitted work is original and does not infringe any existing copyright, trademark, patent, statutory right, or propriety right of others. Corresponding author(s) has (have) obtained permission from all co-authors prior to submission to the journal. Upon submission of the manuscript, the author(s) agree that no similar work has been or will be submitted or published elsewhere in any language. If submitted manuscript includes materials from others, the authors have obtained the permission from the copyright owners.
5) In signing this statement, the author(s) declare(s) that the researches in which they have conducted are in compliance with the current laws of the respective country and UNIMAS Journal Publication Ethics Policy. Any experimentation or research involving human or the use of animal samples must obtain approval from Human or Animal Ethics Committee in their respective institutions. The author(s) agree and understand that UNIMAS Publisher is not responsible for any compensational claims or failure caused by the author(s) in fulfilling the above-mentioned requirements. The author(s) must accept the responsibility for releasing their materials upon request by Chief Editor or UNIMAS Publisher.
6) The author(s) should have participated sufficiently in the work and ensured the appropriateness of the content of the article. The author(s) should also agree that he or she has no commercial attachments (e.g. patent or license arrangement, equity interest, consultancies, etc.) that might pose any conflict of interest with the submitted manuscript. The author(s) also agree to make any relevant materials and data available upon request by the editor or UNIMAS Publisher.