EXPEDITING TOBACCO TAXATION IN SLOVAKIA: MORE GAINS, FEWER PAINS

• Authors: Hudcovský Martin , Morvay Karol
• Languages of publication: EN

Abstracts

EN

The paper investigates the fiscal and public health implications of adopting an expedited excise tax calendar for conventional tobacco cigarettes in Slovakia. Through a comparative simulation, the study evaluates the outcomes of the current bi-annual tax system versus a proposed annual increase schedule from 2024 to 2028. The findings indicate that the proposed tax calendar would substantially increase government revenues while significantly lowering smoking prevalence, particularly among vulnerable populations such as youth and low-income groups. By raising tobacco prices more frequently, the proposed system is projected to achieve greater public health benefits, including the prevention of numerous premature deaths and lower smoking initiation. These findings underscore the benefits of excise taxation as both a fiscal and public health tool, offering a framework that could be replicated by other Central and Eastern European countries struggling with tobacco affordability progress.

Keywords

EN

TOBACCO TAXATION; PUBLIC HEALTH; FISCAL POLICY; SLOVAKIA

• Publisher: Institute of Slovak and World Economics and Institute for Forecasting, Slovak Academy of Sciences
• Journal: Ekonomický časopis (Journal of Economics)
• Year: 2024
• Volume: 72
• Issue: 9-10
• Pages: 458 – 478

Contributors

author

Hudcovský Martin

• Institute of Economic Research, Slovak Academy of Sciences, Šancová 56, 811 05 Bratislava, Slovak Republic

• https://orcid.org/0000-0003-0286-1405

author

Morvay Karol

• https://orcid.org/0000-0001-5790-9694

Identifiers

DOI

https://doi.org/10.31577/ekoncas.2024.09-10.03