Candidate Prime Minister Azarov allegedly claimed
“Whoever drink vodka, continues drinking it. The same can be said of tobacco: people who smoke continue to smoke,” Azarov said. “But they pay Hr 2-3 more per pack now. And this means the additional Hr 2-3 could’ve been spent on groceries, clothing, transportation expenses.”
Of course, this goes against any economic intuition (a price increase typically leads to a decrease in demand) and against empirical estimates. A very recent study on this topic can be found here
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