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- We find evidence that adults are more likely to use e-cigarettes when traditional cigarette taxes rise.
- Traditional cigarette taxes appear to be less effective – in terms of reducing smoking – when a locality has also adopted an e-cigarette tax.
- This finding suggests that the combination of a traditional cigarette tax hike and e-cigarette tax prevents smokers for either quitting or switching to a less harmful product, both actions would improve smoker health by minimizing exposure to carcinogens and other toxins contained in traditional cigarettes.
- Our research contributes further evidence from differences-in-differences methods that regulating e-cigarettes have the unintended consequence of raising traditional cigarette use; while neither product is harmless, the clinical literature strongly suggests that e-cigarettes are the less harmful product. These results suggest caution in regulating e-cigarettes because they may increase smoking of traditional cigarettes.