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Economics

The article written in the Journal of Medical Association is about a study to determine whether declines in tobacco product sales significantly reduce employment in the United States, as the tobacco industry claims. Computer simulation of the economies of the Southeast Tobacco region and 8 non-tobacco regions of the United States, with domestic tobacco expenditures eliminated or reduced and the equivalent spending redistributed, according to consumers' normal spending patterns. They compared these results with baseline forecasts of the regional economies that include normal tobacco expenditures. Had there been no spending on tobacco products in the United States in 1993, the Southeast Tobacco region would have had 303,000 fewer jobs. As a group, however, the 8 non-tobacco regions would have gained enough employment to completely make up for losses in the Southeast Tobacco region, with every non-tobacco region gaining jobs. By the year 2000, the absence of tobacco spending would mean a loss of 222,000 jobs in the Southeast Tobacco region, but a gain of 355,000 throughout the rest of the country. Contrary to the tobacco industry's claims, reductions in spending on tobacco products will boost employment in every one of the 8 non-tobacco regions and will not weaken employment in the Southeast Tobacco region by as much as the industry estimates. The primary concern about tobacco should be the size of its toll on health and not its impact on employment. ...

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