Measuring weight outcomes for obesity intervention strategies: The case of a sugar-sweetened beverage tax

Biing-Hwan Lin, Travis Smith, Jonq-Ying Lee and Kevin D. Hall

Economics & Human Biology, 2011, vol. 9, issue 4, 329-341

Abstract: Taxing unhealthy foods has been proposed as a means to improve diet and health by reducing calorie intake and raising funds to combat obesity, particularly sugar-sweetened beverages (SSBs). A growing number of studies have examined the effects of such food taxes, but few have estimated the weight-loss effects. Typically, a static model of 3500 calories for one pound of body weight is used, and the main objective of the study is to demonstrate its bias. To accomplish the objective, we estimate income-segmented beverage demand systems to examine the potential effects of a SSB tax. Elasticity estimates and a hypothetical 20 percent effective tax rate (or about 0.5 cent per ounce) are applied to beverage intake data from a nationally representative survey, and we find an average daily reduction of 34–47 calories among adults and 40–51 calories among children. The tax-induced energy reductions are translated into weight loss using both static and dynamic calorie-to-weight models. Results demonstrate that the static model significantly overestimates the weight loss from reduced energy intake by 63 percent in year one, 346 percent in year five, and 764 percent in year 10, which leads to unrealistic expectations for obesity intervention strategies. The tax is estimated to generate $5.8 billion a year in revenue and is found to be regressive, although it represents about 1 percent of household food and beverage spending.

Keywords: Beverage demand; Sugar-sweetened beverage tax; Obesity; Calorie-to-weight (search for similar items in EconPapers)
Date: 2011
References: View references in EconPapers View complete reference list from CitEc
Citations: View citations in EconPapers (53)

Downloads: (external link)
http://www.sciencedirect.com/science/article/pii/S1570677X11000906
Full text for ScienceDirect subscribers only

Related works:
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: https://EconPapers.repec.org/RePEc:eee:ehbiol:v:9:y:2011:i:4:p:329-341

DOI: 10.1016/j.ehb.2011.08.007

Access Statistics for this article

Economics & Human Biology is currently edited by J. Komlos, Inas R Kelly and Joerg Baten

More articles in Economics & Human Biology from Elsevier
Bibliographic data for series maintained by Catherine Liu ().