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In the United States,there Is a Lot of Variation in How

Question 47

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In the United States,there is a lot of variation in how cigarettes are taxed across different states.The excise tax on cigarettes varies from a low of 17¢ per pack in Missouri to a high of $4.35 per pack in New York.Explain how this variation in taxation allows for quasi-experimental estimation of the impact of excise taxes on product prices.

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