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Published at www.nejm.org November 25, 2009 (10.1056/NEJMopv0909847)

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As the United States struggles to combat obesity, some health policy experts have asserted that a tax on sugar-sweetened beverages such as soda would lead to reduced consumption of sodas and increased consumption of more healthful beverages — and thus to healthier weights and important reductions in obesity-related health care costs.¹ Although we find these assertions unwarranted, we would defend such a measure as an equitable way of tackling the obesity epidemic.

Why wouldn't a soda tax decrease obesity rates by shifting consumption patterns toward healthier beverages? This is because price elasticity can refer to "own-elasticity" — changes in the . . . [Full Text of this Article]

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