Craig A. Gallet

The environmental Kuznets curve: does one size fit all?

Abstract This paper uses a new panel data set on state-level sulfur dioxide and nitrogen oxide emissions from 1929–1994 to test the appropriateness of the ‘one size fits all’ reduced-form regression approach commonly used in the environmental Kuznets curve literature. Empirical results provide initial evidence that an inverted-U shape characterizes the relationship between per capita emissions and per capita incomes at the state level. Parameter estimates suggest, however, that previous studies, which restrict cross-sections to undergo identical experiences over time, may be presenting statistically biased results.

The Demand for Alcohol: A Meta-Analysis of Elasticities

Numerous studies have estimated elasticities of alcohol demand using different procedures. Because of widespread differences in demand estimates, however, it is difficult to synthesise the literature into coherent meaning. This study improves our understanding of alcohol demand by reporting results from a meta-analysis of 132 studies. Specifically, regressing estimated price, income and advertising elasticities of alcohol on variables accounting for study characteristics, we find alcohol elasticities to be particularly sensitive to demand specification, data issues and various estimation methods. Furthermore, compared to other alcoholic beverages, beer elasticities tend to be more inelastic.

Meat Meets Meta: A Quantitative Review of the Price Elasticity of Meat

The price elasticity of meat has been estimated in numerous studies that utilize a variety of disparate modeling procedures. In light of differences in the literature, a meta-analysis is performed to assess the sensitivity of the meat price elasticity to a number of characteristics, including the type of meat, specification of demand, nature of data, estimation method, characteristics of the publication outlet, and location of demand. The results from estimating linear and Box-Cox meta-regressions, coupled with different panel data treatments, reveal that these characteristics have differing influence on the reported price elasticity.

The Kuznets Curve: What Happens after the Inverted-U?

Recent research has posited that, in advanced economies, there is a positive correlation between income inequality and development. Using a new unbalanced panel dataset for 71 countries from 1961 to 1992, we present evidence that supports this conjecture. Although many factors may be contributing to this renewed positive relationship between growth and inequality, one plausible explanation rests on the shift away from a manufacturing base towards a service base in most advanced economies. Copyright 1999 by Blackwell Publishing Ltd

CAN PRICE GET THE MONKEY OFF OUR BACK? A META‐ANALYSIS OF ILLICIT DRUG DEMAND

Because of the increased availability of price data over the past 15 years, several studies have estimated the demand for illicit drugs, providing 462 estimates of the price elasticity. Results from estimating several meta-regressions reveal that these price elasticity estimates are influenced by a number of study characteristics. For instance, the price elasticity differs across drugs, with its absolute value being smallest for marijuana, compared with cocaine and heroin. Furthermore, price elasticity estimates are sensitive to whether demand is modeled in the short-run or the long-run, measures of quantity and price, whether or not alcohol and other illicit drugs are included in the specification of demand, and the location of demand. However, a number of other factors, including the functional form of demand, several specification issues, the type of data and method used to estimate demand, and the quality of the publication outlet, have less influence on the price elasticity.

The Income Elasticity of Meat: A Meta-Analysis

The demand for meat has been estimated by many studies utilizing various data and estimation methods. In this study, we perform a meta-analysis of the income elasticity of meat that involves regressing 3357 estimated income elasticities, collected from 393 studies, on variables that control for study characteristics. Across several meta-regression specifications, we find significant differences in income elasticities tied to the type of meat being studied, as well as a few functional forms, data aggregations, publication characteristics, and locations of demand. However, many study characteristics do not significantly influence reported income elasticities. Less concern should be given to such characteristics when choosing an income elasticity from the literature.

The effect of the 1971 advertising ban on behavior in the cigarette industry

The 1971 ban on TV and radio advertising of cigarettes offers a unique opportunity to uncover the industry response to a change in the mix of advertising. Following the ban, advertising expenditures were shifted away from TV and radio towards print media. Accounting for the impact of this event within a supply and demand framework, the empirical results show that advertising had an insignificant effect on demand during the pre- and post-1971 periods; however, advertising did stimulate competition in the industry prior to the 1971 ban. Copyright

Elasticities of beer demand revisited

Abstract This paper uses U.S. aggregate beer consumption data from 1964–1992 to empirically estimate the elasticities of demand for beer. However, rather than assuming the behavioral parameters are time invariant, we estimate a gradual switching regression model that explicitly allows the elasticities to change over time. Results suggest that this more general model is warranted, as findings illustrate the importance of variable dynamics when evaluating the efficacy of proposed policy alternatives.

THE DEMAND FOR FISH: A META-ANALYSIS OF THE OWN-PRICE ELASTICITY

Several studies have estimated the demand for fish using a variety of modeling procedures. In light of differences in the literature, we perform a meta-analysis of the own-price elasticity of fish from a survey of 168 studies. Regressing the own-price elasticity on study characteristics, we find the own-price elasticity is sensitive to demand specification, data issues, estimation method, and publication characteristics. Also, not only is the demand for salmon more price elastic compared to other fish, but the U.S. demand for fish is more price elastic compared to other countries.

Putting Out Fires: An Examination of the Determinants of State Clean Indoor-Air Laws

Although numerous studies have examined the effect of clean indoor-air laws on tobacco consumption, a handful of other studies have sought to address the demand for smoking restrictions. This paper adds to this body of research by using a random effects Probit procedure that controls for the endogeneity of cigarette consumption and cigarette taxes to estimate the determinants of clean indoor-air laws. By treating cigarette consumption and cigarette taxes as exogenous, we found that taxes complement smoking restrictions. However, when we accounted for endogeneity, the role of cigarette taxes shifted toward being a policy substitute. Results further revealed that the probability of a state adopting a smoking restriction is particularly sensitive to per capita cigarette consumption, political affiliation, metropolitan population, per capita income, and tobacco production.