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Increase Tax on Soft Drinks to Reduce Obesity

Fri, 13 Jan 2012

Increasing tax on soft drinks is a way in which and obesity could be reduced.

Columbia University researchers emphasise that an Increase of tax on soft drinks by just a penny per ounce could cut the number of obese adults in the country by 1.5% and new diabetes cases by 2.6%.

The researchers report that over the next decade the result would equate to there being 2.4 million fewer person-years of diabetes, 95,000 fewer coronary heart disease cases, 26,000 fewer deaths, and a healthcare savings of $17 billion.

Furthermore, the tax on soft drinks is anticipated to generate $13 billion in revenue.

They estimated that this tax would result in a 15 per cent decrease of drinking soft drinks by adults ages 25 to 64.

Essentially, the researchers predict that a 10 per cent increase in the cost of sugary drinks would be associated with an 8 per cent drop in consumption. There is of course some uncertainty as to whether or not individuals would substitute soft drinks with other sweetened foods.
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