담배의 가격 탄력성 추정에 관한 소고 = Estimating the Price Elasticity of Tobacco

다국어 초록 (Multilingual Abstract)

This paper proposes methodologies to estimate changes in consumption and price elasticity of tobacco, based on those which the increase in tobacco price in 2004 brought about.
Estimating of changes in consumption and price elasticity usually requires estimation of a well-fitted demand curve, with the quality of commodity controlled. But in Korea increases in tobacco price, except the increase in tobacco price in 2004, had been accompanied by changes in quality. So it is almost impossible to estimate demand curve, with the quality of tobacco controlled.
Therefore, utilizing information obtained from the precedence in 2004, the paper develops the methods to estimate changes in consumption and price elasticity of tobacco. The paper adopts several assumptions, which might be highly plausible in normal cases, on tobacco consumption: price elasticities differ along with changes in price; the rate of change in tobacco consumption is higher at higher prices; the pattern of changes in tobacco consumption is continuous up to another increase in price. The paper uses several types of functions which fulfill these assumptions, to estimate changes in consumption and price elasticity of tobacco.