Health-related obesity costs are projected to reach $344 billion by 2018 — with roughly 60 percent of that cost borne by the federal government. A 20 percent increase in the price of sugary drinks nationally could result in about a 20 percent decrease in consumption, which in the next decade could prevent 1.5 million Americans from becoming obese and 400,000 cases of diabetes, saving about $30 billion. The question is should we do it ?
A study by Y. Claire Wang, an assistant professor at Columbia’s Mailman School of Public Health, predicted that a penny tax per ounce on sugar-sweetened beverages in New York State would save $3 billion in health care costs over the course of a decade, prevent something like 37,000 cases of diabetes and bring in $1 billion annually. Another study shows that a two-cent tax per ounce in Illinois would reduce obesity in youth by 18 percent, save nearly $350 million and bring in over $800 million taxes annually.
Scaled nationally, as it should be, the projected benefits are even more impressive; one study suggests that a national penny-per-ounce tax on sugar-sweetened beverages would generate at least $13 billion a year in income while cutting consumption by 24 percent. And those numbers would swell dramatically if the tax were extended to more kinds of junk or doubled to two cents an ounce. (The Rudd Center has a nifty revenue calculator online that lets you play with the numbers yourself.)
The need is dire: efforts to shift the national diet have failed, because education alone is no match for marketing dollars that push the very foods that are the worst for us. (The fast-food industry alone spent more than $4 billion on marketing in 2009; the Department of Agriculture’s Center for Nutrition Policy and Promotion is asking for about a third of a percent of that in 2012: $13 million.) As a result, the percentage of obese adults has more than doubled over the last 30 years; the percentage of obese children has tripled. We eat nearly 10 percent more animal products than we did a generation or two ago, and though there may be value in eating at least some animal products, we could perhaps live with reduced consumption of triple bacon cheeseburgers.
Source: NY Times
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