Monday, 12 January 2015

Taxes on food and drink: Fair? Efficient? Effective?

I have an article about sin taxes in the latest edition of Cato Unbound. Over the course of January, other writers will challenge and debate the point I make. I, in turn, will respond. You can also make a contribution in the comments if you wish.

Extending “sin taxes’” to certain foods and soft drinks is increasingly seen as a practical response to obesity and obesity-related diseases. Several countries and most U.S. states have some form of tax on soda, candy, and/or fatty foods, but they have so far had little or no effect on population health. For a tax to be justified, it should be efficient, fair and effective, and that taxes on food and drink meet none of these criteria.

Read the whole article here.