Taxing unhealthy foods may encourage healthier eating habits

Wednesday, February 24, 2010 - 15:14 in Mathematics & Economics

Recently, the Obama administration called for a total ban on candy and soda in the nation's schools. States are beginning to impose "sin taxes" on fat and sugar to dissuade people from eating junk food. Pricing strategies may well be a key to changing behavior, but others favor subsidies over punitive taxes, as a way to encourage people to eat fruits and vegetables and whole grains. The thought is that if you make it cheaper, people will eat more of it, more expensive and people will eat less.

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