The Effect Of Non - Market Interaction On Smoking Behavior

Smoking is one of the most significant contributing factors to life expectancy, health inequalities and ill health. In this paper, we analyze the longitudinal data of the China Health and Nutrition Survey(CHNS) in year2000and year2004in order to explore the non-market interaction in health capital production. We find that the current community level smoking rate is positively correlated with individual smoking amount, while the mechanism is ambiguous at family level data. After controlling for a series of demographical characteristics, the interaction term of individual schooling years and averaging schooling years in community presents a significant negative effect on individual smoking amount, provided that the individual schooling years significantly reduce the smoking amount. There is no clear evidence that averaging schooling years of family members will affect the explained variable.