Can receiving a serious health update help individuals suffering from tobacco addiction?

This research examines a panel of Dutch individuals’ reactions to the diagnosis of a serious health condition in terms of smoking behaviour, analysing the presence of the effects of unstable steady states on addiction to tobacco products. The elements of addiction of participation elasticity and conditional demand elasticity are represented by a person being a smoker (or not) and the amount of cigarettes smoked by an individual, respectively. The effects of a health shock on smoking are empirically modeled focused on withinindividual changes, and the primary outcome is that individuals who were smokers at the time of diagnosis have a slightly increased likelihood of halting their participation in smoking along with slightly decreasing their level of addiction to cigarettes. The effect of a diagnosis on the smoking behaviour of those not actively smoking is positive (individuals are more likely to pick up the habit), but statistically negligible. A diagnosis can thus be seen as an opportunity for targeted changes in behaviour for those suffering from tobacco addiction.