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Smoking Bans in the Presence of Social Interaction (2009)
| Content Provider | CiteSeerX |
|---|---|
| Author | Bauer, Christian |
| Abstract | This paper analyzes the welfare effects of a public smoking ban in bars. We construct a model that captures crucial features of bar life: competing bars, social interaction, heterogenous preferences towards a smoking ban. Smokers and non-smokers simultaneously choose a bar given their prefer-ences for meeting other people. Bars anticipate the behavior of individuals and choose the smoking regime strategically. Since the (dis)utility from smok-ing and social interaction are substitutes, the smoking regime is a stronger coordination device if the disutility from smoking is large. If all bars allow smoking in equilibrium, a public smoking ban enhances welfare. |
| File Format | |
| Publisher Date | 2009-01-01 |
| Access Restriction | Open |
| Subject Keyword | Bar Life Smoking Regime Public Smoking Ban Enhances Welfare Smoking Ban Coordination Device Public Smoking Ban Heterogenous Preference Crucial Feature Social Interaction Welfare Effect |
| Content Type | Text |
| Resource Type | Article |
