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An analysis of cigarette prices and affordability in Africa: evidence from African Cigarette Prices (ACP) Data

Cigarette affordability is defined as the amount of money or its time equivalent required to purchase cigarettes. It is one of the important determinants of tobacco consumption and is calculated from the interaction of consumer income and cigarette price. Governments of Low- and Middle-Income Countr...

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Main Author: Chinembiri, Tapiwa
Other Authors: van Walbeek, Corné
Format: Thesis
Language:English
Published: School of Economics 2019
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access_status_str Open Access
author Chinembiri, Tapiwa
author2 van Walbeek, Corné
author_browse Chinembiri, Tapiwa
van Walbeek, Corné
author_facet van Walbeek, Corné
Chinembiri, Tapiwa
author_sort Chinembiri, Tapiwa
collection Thesis
description Cigarette affordability is defined as the amount of money or its time equivalent required to purchase cigarettes. It is one of the important determinants of tobacco consumption and is calculated from the interaction of consumer income and cigarette price. Governments of Low- and Middle-Income Countries have generally underutilized the most powerful tool in tobacco control, namely decreasing tobacco affordability by increasing tobacco taxes. I analyze price data collected from retail outlets and street vendors in seven countries: Botswana, Lesotho, Mauritius, Namibia, South Africa, Swaziland, and Zimbabwe. I use the African Cigarette Prices dataset [n=9285], which has data collected in June and July 2016. Affordability is expressed as Relative Income Price (RIP), i.e., as a percentage of per capita GDP for all countries. For South Africa, affordability is also estimated separately using household per capita income by sub-national region. The results of the study show that cigarettes are more affordable in countries and provinces where incomes are high. I compare the differences in prices between cigarette brands, packaging, and outlet type across countries, and, in South Africa's case, across provinces. The study is relevant as it indicates that, when setting excise taxes, policy makers should also take cigarette prices and incomes into account.
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institution University of Cape Town (South Africa)
language eng
last_indexed 2026-06-10T12:32:12.136Z
license_str Not specified — see source repository
provenance_str_mv Harvested via OAI-PMH from UCTD — University of Cape Town Open Access Repository
publishDate 2019
publishDateRange 2019
publishDateSort 2019
publisher School of Economics
publisherStr School of Economics
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source_str UCTD — University of Cape Town Open Access Repository
spelling oai:open.uct.ac.za:11427/29597 An analysis of cigarette prices and affordability in Africa: evidence from African Cigarette Prices (ACP) Data Chinembiri, Tapiwa van Walbeek, Corné Economics Cigarette affordability is defined as the amount of money or its time equivalent required to purchase cigarettes. It is one of the important determinants of tobacco consumption and is calculated from the interaction of consumer income and cigarette price. Governments of Low- and Middle-Income Countries have generally underutilized the most powerful tool in tobacco control, namely decreasing tobacco affordability by increasing tobacco taxes. I analyze price data collected from retail outlets and street vendors in seven countries: Botswana, Lesotho, Mauritius, Namibia, South Africa, Swaziland, and Zimbabwe. I use the African Cigarette Prices dataset [n=9285], which has data collected in June and July 2016. Affordability is expressed as Relative Income Price (RIP), i.e., as a percentage of per capita GDP for all countries. For South Africa, affordability is also estimated separately using household per capita income by sub-national region. The results of the study show that cigarettes are more affordable in countries and provinces where incomes are high. I compare the differences in prices between cigarette brands, packaging, and outlet type across countries, and, in South Africa's case, across provinces. The study is relevant as it indicates that, when setting excise taxes, policy makers should also take cigarette prices and incomes into account. 2019-02-18T10:27:27Z 2019-02-18T10:27:27Z 2018 2019-02-18T09:28:26Z Master Thesis Masters MCom http://hdl.handle.net/11427/29597 eng application/pdf School of Economics Faculty of Commerce University of Cape Town
spellingShingle Economics
Chinembiri, Tapiwa
An analysis of cigarette prices and affordability in Africa: evidence from African Cigarette Prices (ACP) Data
thesis_degree_str Master's
title An analysis of cigarette prices and affordability in Africa: evidence from African Cigarette Prices (ACP) Data
title_full An analysis of cigarette prices and affordability in Africa: evidence from African Cigarette Prices (ACP) Data
title_fullStr An analysis of cigarette prices and affordability in Africa: evidence from African Cigarette Prices (ACP) Data
title_full_unstemmed An analysis of cigarette prices and affordability in Africa: evidence from African Cigarette Prices (ACP) Data
title_short An analysis of cigarette prices and affordability in Africa: evidence from African Cigarette Prices (ACP) Data
title_sort analysis of cigarette prices and affordability in africa evidence from african cigarette prices acp data
topic Economics
url http://hdl.handle.net/11427/29597
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