Demand for Marijuana, Alcohol and Tobacco: Participation, Levels of Consumption and Cross‐equation Correlations*
Open accessAbstract
We investigated marijuana, alcohol and tobacco consumption using micro‐unit data from the Australian National Drug Strategy Household Surveys. We estimated a multivariate probit (MVP) model to allow for correlations across participations of different drugs and a sequential model to study separately the determinants of participation and the levels of consumption. The MVP results indicate significant and positive correlations across all three drugs through unobservable characteristics, with the correlation coefficient between marijuana and tobacco being the highest. The MVP approach allows for better prediction of conditional and joint probabilities, providing valuable information for policy makers in a multidrug framework.
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Some studies have found a slight increase in drug use following decriminalization.
“Others have found a slight increase (e.g.Williams 2004; Zhao and Harris 2004;Damrongplasit et al. 2010).”
From What Can We Learn From The Portuguese Decriminalization of Illicit Drugs? (2010) · cites this paper as Zhao and Harris 2004
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Williams, J. (2004) · Health Economics · doi:10.1002/hec.796 · Cited by 109 · see citing works
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What Can We Learn From The Portuguese Decriminalization of Illicit Drugs?
Hughes, C. E., & Stevens, A. (2010) · British Journal of Criminology · doi:10.1093/bjc/azq038 · Cited by 440 · see citing works
- Authors
- ZHAO, X., & HARRIS, M. N.
- Affiliations
- Monash University (AU)
- Curtin University (AU)
- Corresponding author
- ZHAO, XUEYAN
- Venue
- Economic Record
- Publisher
- Wiley
- Published
- 2004-12
- Volume
- 80
- Issue
- 251
- Pages
- 394-410
- ISSN
- 0013-0249 (ISSN-L)
- 1475-4932
- OpenAlex
- W2109055011
- Cited by
- 98
- References
- 1
- Citations by year
- 2026: 2 · 2025: 1 · 2024: 1 · 2022: 6 · 2021: 2 · 2020: 4 · 2019: 5 · 2017: 7 · 2016: 3 · 2015: 5 · 2014: 8 · 2013: 6 · 2012: 4
- FWCI
- 3.60
- Type
- journal article
- Language
- en
- Open access
- green
- papers.ssrn.com
- Locations
- Economic Record (publishedVersion)
- SSRN Electronic Journal (submittedVersion)
- eSpace (Curtin University) (submittedVersion)
- Topics
- Health Sciences › Medicine › Epidemiology › Substance Abuse Treatment and Outcomes
- Health Sciences › Medicine › Physiology › Smoking Behavior and Cessation
- Social Sciences › Economics, Econometrics and Finance › Economics and Econometrics › Economic and Environmental Valuation
- Keywords
- cannabis use, alcohol consumption, tobacco use, multivariate probit model, sequential model
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