Cigarette consumption in Spain: empirical evidence and implications for public health policy

The partial adjustment (‘habit-persistence’) model is used to analyse the behaviour of the demand for cigarettes in Spain over the period from 1964 to 1988. On that basis, the short- and long-run elasticities of demand with respect to price, income and advertising intensity are estimated. The model also provides and estimation of the effects that the anti-smoking policies implemented during the period might have had on consumption. The results are used to anticipate the probable impact on sales of a total ban on advertising, and to design a suitable method to finance a health education campaign about the risks of smoking.