S-WoPEc
 
Scandinavian Working Papers in Economics
HomeAboutSeriesSubject/JEL codesAdvanced Search
IFAU - Institute for Evaluation of Labour Market and Education Policy Working Paper Series
IFAU - Institute for Evaluation of Labour Market and Education Policy

No 2012:10:
Cross-border health and productivity effects of alcohol policies

Per Johansson (), Tuomas Pekkarinen and Jouko Verho

Abstract: This paper studies the cross-border health and productivity effects of alcohol taxes. We estimate the effect of a large cut in the Finnish alcohol tax on mortality, alcohol related illnesses and work absenteeism in Sweden. This tax cut led to large differences in the prices of alcoholic beverages between these two countries and to a considerable increase in cross-border shopping. The effect is identified using differences-in-differences strategy where changes in these outcomes in regions near the Finnish border are compared to changes in other parts of northern Sweden. We use register data where micro level data on deaths, hospitalisations and absenteeism is merged to population-wide micro data on demographics and labour market outcomes. Our results on the effect of the Finnish tax cut on mortality and alcohol-related hospitalisations in Sweden are very imprecise. However,we find that workplace absenteeism increased by 5% for males and by 13% for females near the Finnish border as a result of the tax cut.

Keywords: Cross-border shopping; Alcohol taxes; Health effects of alcohol; (follow links to similar papers)

JEL-Codes: H23; H73; I18; (follow links to similar papers)

27 pages, May 2, 2012

Before downloading any of the electronic versions below you should read our statement on copyright.
Download GhostScript for viewing Postscript files and the Acrobat Reader for viewing and printing pdf files.

Full text versions of the paper:

wp-12-10-Cross-border-hea ... s-of-alcohol-policies.pdf    PDF-file
Download Statistics
This paper is forthcoming as:
Johansson, Per, Tuomas Pekkarinen and Jouko Verho, 'Cross-border health and productivity effects of alcohol policies', Journal of Health Economics.



Questions (including download problems) about the papers in this series should be directed to Monica Fällgren ()
Report other problems with accessing this service to Sune Karlsson () or Helena Lundin ().

Programing by
Design by Joachim Ekebom

Handle: RePEc:hhs:ifauwp:2012_010 This page was generated on 2016-01-24 15:55:01