When the fight against obesity comes down to a battle against chocolate consumption, winning will be tough.
While the UK’s sugary drink tax targets childhood obesity, it could also be creating a host of demand related incentives with unintended consequences.
Because Berkeley’s sugary drink tax has had little impact on price, researchers suggest that lawmakers insufficiently considered elasticity and incidence.
To avoid inelastic demand, a sugary drink tax would need to increase price substantially. Current taxes that average less than 5% have little impact.
“It’s worth fighting for. . . . This is about our economy, it’s about jobs, it’s also about our traditions and our values.” The speaker was John Kerrey and the topic was the cranberry. Worried that sugary beverage limitations could move far…