Table 1
Key input variables used in the mathematical model depicting the distributional impact of increased tobacco taxation using a standard income-share accounting definition of tax burden
| Input variable | Description |
| y | Individual income. |
| s (y) | Smoking prevalence, varies with income. |
| c (y) | Consumption of cigarettes per year, varies with income. |
|
: before increased taxation.
: after increased taxation. |
| Price elasticity of demand for cigarettes, varies with income. |
| p | Retail price of cigarettes
: before increased taxation.
: after increased taxation. |
| t | Share of taxes within retail price of cigarettes
: before increased taxation.
: after increased taxation. |
| Change in retail price due to increased taxation. |
| r | Relative change in retail price
|