The impact of price policy on demand for alcohol in rural India
This study uses panel data from Indian Punjab
Abstract
Whether raising the price of addictive goods can reduce its burden is widely debated in many countries, largely due to lack of appropriate data and robust methods. 3 key concerns frequently raised in the literature are: unobserved heterogeneity; omitted variables; identification problem. Addressing these concerns, using robust instrument and employing unique individual-level panel data from Indian Punjab, this paper investigates two related propositions (i) will increase in alcohol price reduce its burden (ii) since greater incomes raise the costs of inebriation, will higher incomes affect consumption of alcohol negatively.
This is an output from the ‘Information, market creation and agricultural growth’ Project
Citation
Arjunan Subramanian, Parmod Kumar, The impact of price policy on demand for alcohol in rural India, Social Science & Medicine, Volume 191, 2017, Pages 176-185,
Links
The impact of price policy on demand for alcohol in rural India