A study published in the journal Health Economics in December 2005 examined how California's smokefree restaurant and bars laws, implemented in 1995 and 1998 respectively, impacted the distribution of revenues between restaurants and bars. The authors noted that critics of the smokefree laws often claim that they have decreased revenues, however, "Using tax revenue data from 1990 to 2002, our analysis suggests that the actual effect is just the opposite: the 1995 smoke-free restaurant law is associated with an increase in restaurant revenues, while the 1998 smoke-free bar law is associated with an increase in bar revenues." [Cowling, D.W.; Bond, P., "Smoke-free laws and bar revenues in California: the last call," Health Economics 14(12): 1273-1281, December 2005.]
A study published
in Tobacco Control in 2000, found an increase in business in bars
in California as a result of implementation of the smokefree bar portion of
the California state smokefree workplace law.
[Glantz S. Effect of smokefree bar law on bar revenues in California. Tobacco Control 2000;9(1):111-2]
The California Department of Human Services has created three Microsoft PowerPoint presentations regarding the economic impact of California's statewide smokefree law: