Does smoke cross the border? Cigarette tax avoidance in France

This paper examines the impact on cigarette sales of the successive increases in cigarette prices in France from 2002 to 2004. Since the price differential between France and neighboring countries increased over the period in question, cross-border purchases became more financially attractive for smokers living near borders. Results from difference-in-differences estimates indicate that the decrease in cigarette sales observed in French border departments was around 20 % higher from 2004 to 2007 compared to non-border departments. The loss of fiscal revenue due to cross-border shopping since the tax increase amounts to 2 billion euros over the period 2002-2007. Our findings highlight the need for improved coordination of policies aimed at reducing tobacco consumption across European Union countries.

Policy-Induced Fertility Suppression and Marital Satisfaction: Evidence From a Natural Experiment in China

Having children is widely regarded as one of the most important benefits and purposes of marriage, particularly in societies that uphold traditional family values. Consequently, the suppression of fertility could have far-reaching implications for marital life that transcend childbearing itself. Previous studies have examined the impact of health-induced fertility suppression, but a gap remains in understanding how policy-induced fertility restrictions affect marital satisfaction. This study employs a nationally representative sample to examine whether Chinese couples' marital satisfaction improves when the potential marital utility on fertility is enhanced following the transition from the one-child to the universal two-child policy in China. Using a difference-in-differences design, the study finds that men who desire multiple children experience increased marital satisfaction after the policy change. Conversely, the same is not observed for women. Our study provides compelling evidence that the increase in marital satisfaction for husbands is driven by the improved evaluation of the marital fertility value rather than other unintended policy effects. Further, the policy-induced satisfaction improvement is more pronounced among men with more severely constrained or deeply ingrained fertility desires. The article discusses the broad impact of fertility policy on family life, the gender-imbalanced perception of this policy shift, and its theoretical and policy implications.

What can be Expected from Mergers After Deregulation? The Case of the Long-Distance Bus Industry in France

This study estimates the competitive effects of horizontal mergers in the French long-distance bus industry. We examine the two mergers that followed the 2015 Deregulation Act (the Macron Law); we use an exclusive and exhaustive dataset that covers eight consecutive quarters. We analyze the merger effects by comparing bus links that were affected by mergers with those that were unaffected; we use difference-in-differences estimations. We find that the two mergers are associated with price increases of about 13.5% immediately that then moderate to 5.3%; and with the frequency decreases from - 21.5 to - 25.7%; we observe no effects on load factors. These findings show evidence of short-run anticompetitive effects, while the mergers under study were not scrutinized by the French competition agency, as they were below the notification thresholds.

The Effect of Becoming Disabled on the Subjective Well-Being of Religious and Nonreligious People

Positive associations between religiosity and subjective well-being (SWB) have been found in a multitude of studies. However, there has been little effort in documenting the role that religion plays in helping people during the onset of adverse circumstances in their lives. This study investigates the effect of religion on the SWB of the disabled. We utilized secondary data from the Korean Longitudinal Study of Aging from 2006 to 2016 with a sample size of 36,484. Starting with nondisabled participants, we applied a difference-in-differences approach to a fixed-effects model and compared the magnitude of the decrease in SWB resulting from disability between religious individuals and their nonreligious counterparts. The empirical results show that following a religion increased SWB by 0.94 (p < 0.01) and the onset of a disability reduced SWB by 3.57 (p < 0.01) out of 100. Furthermore, there is a significant gap in happiness levels between religious and nonreligious individuals when they are diagnosed with a disability. Becoming disabled reduces SWB for nonreligious people more than that for religious people by 2.62 (p < 0.01). This study confirms that following a religion helps people cope with adverse circumstances such as the onset of a disability.