CEDLAS researchers Guillermo Cruces, Guillermo Falcone and Jorge Puig conducted in January this research with support from the Tobacconomics project of the University of Illinois in Chicago. For more information, you can download the full report in Spanish and English, and the brief policy report in Spanish and English.
- Tobacco taxes benefit the poor and young people as well as generate more public revenues.
- Over the long term, higher taxes on tobacco result in the generation of higher individual income, enhanced well-being and living conditions, especially among the poorest sectors of society. This is because tax increases reduce tobacco consumption, and the reduction is relatively larger among low-income households.
- In 2015, diseases related to tobacco represented a direct cost of around 0.75% of the GDP in Argentina. Put in perspective, that nation dedicated 0.5% of its GDP to the Asignación Universal del Hijo (Universal Child Allowance) program, its largest income transfer program dedicated to fighting poverty (UNICEF, 2017).