Economics Department


Date of this Version

July 2008


Published in Contemporary Economic Policy 26:3 (July 2008), pp. 351–359; doi 10.1111/j.1465-7287.2007.00091.x Copyright © 2008 Western Economic Association International; published by Blackwell Publishing/John Wiley & Sons., Inc. Used by permission.


This study examines how smoke-free laws influence turnover among restaurant workers. The study uses a unique data set of payroll records of a franchisee of a national full-service restaurant chain operating 23 restaurants in the state of Arizona, a state where several communities have adopted smoke-free laws. Municipal smoke-free laws did not, on average, have a statistically significant effect on the probability of employee separation in the years after implementation. These results suggest that training costs associated with employee turnover would not rise for full-service restaurants in municipalities that adopt smoke-free laws.

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