Chapter

Conjoint Analysis to Estimate the Demand for Nicotine Replacement Therapy in Japan

Seiritsu Ogura, Wataru Suzuki, Makoto Kawamura and Tamotsu Kadoda

in Health Care Issues in the United States and Japan

Published by University of Chicago Press

Published in print November 2006 | ISBN: 9780226902920
Published online February 2013 | e-ISBN: 9780226903248 | DOI: http://dx.doi.org/10.7208/chicago/9780226903248.003.0011
Conjoint Analysis to Estimate the Demand for Nicotine Replacement Therapy in Japan

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This chapter addresses the demand for nicotine gum in Japan. It explores the smoking cessation assistance policy with nicotine replacement therapy (NRT) using original survey data gathered in late 2001. A high price is preventing the diffusion of nicotine gum. The price of nicotine gum had a negative effect on nicotine gum purchasing, the price of cigarettes had a positive effect, and access to the gum had positive effects on nicotine gum purchasing. The benefits associated with the subsidy for nicotine gum are a decrease in smoking-related illnesses through successful smoking cessation. This would make annual medical insurance payment fall by 67.6 billion yen. When the change in the lifetime medical insurance payments and health capital accumulation are taken into account, 3,300 billion yen should be added to the benefits in the long run.

Keywords: nicotine gum; Japan; smoking cessation; nicotine replacement therapy; cigarettes; medical insurance; health capital accumulation

Chapter.  6855 words.  Illustrated.

Subjects: Public Economics

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