An Econometric Study of Advertising and Cigarette Demand in the United Kingdom

This article reports the results of an empirical investigation of the effect of total cigarette advertising on aggregate demand for cigarettes in the United Kingdom. The research is conducted within the framework of the Becker-Murphy model of rational addictive behaviour, using time series spanning the period 1963–1992. No evidence is found in this research to back up the view that aggregate cigarette advertising has the effect of expanding total market demand for cigarettes.