Since a report released Dec. 11 by the Federal Reserve Bank of St. Louis said that Columbia’s smoking ban caused a 5 percent decline in dining establishments’ sales tax revenues, people have raised questions about whether the analysis was affected by researcher Michael Pakko’s political persuasion.

Pakko

In 2005 and part of 2006, Pakko served as interim chairman of the St. Louis County Libertarian Party. Although he said he no longer holds an official position with a political party, he is still active with the organization.

"I have tried very much to remain objective on the issue," Pakko said. "When I at first looked at the research on the subject and then realized my analysis was contradictory, I tried to be very careful, knowing that the research I’m presenting is going against the convention."

Pakko said he has conducted about four studies on the economic effects of smoking bans. His study on how a smoking ban affected casinos in Delaware has been published in two peer-reviewed journals, one of which was Tobacco Control, an international peer-review journal for health professionals and others to control tobacco use. The paper is also forthcoming in a third peer-reviewed publication, the Journal of Applied Economics.

Political organizations have invited Pakko to present the findings of his research. He appeared before the Columbia City Council last year during a debate about smoking bans at the invitation of the Boone Liberty Coalition. But Pakko said his research is not based on his political affiliation or on behalf of a political group.

"I have looked at any bias I might have, and the only value judgment I can recognize is that, as an economist, I have a strong belief that the free economy will dictate the market’s conditions," Pakko said.

Pakko said the study on Columbia’s smoking ban had no outside funding, and he did it on his own volition under the normal duties of his job with the Federal Reserve Bank of St. Louis. He said his study does not necessarily state the views of the bank, and the clause stating that in the document is a standard disclaimer for publications by Federal Reserve employees.

- Kat Hughes

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