Caffeine is a highly addictive drug found in coffee, tea, and some sodas. Unlike cigarettes, however, there have been very few calls to tax it, regulate its consumption, or limit its use in public places. Why the difference? Can you think of any economic arguments for regulating (or taxing) its use?

Macroeconomics: Private and Public Choice (MindTap Course List)
16th Edition
ISBN:9781305506756
Author:James D. Gwartney, Richard L. Stroup, Russell S. Sobel, David A. Macpherson
Publisher:James D. Gwartney, Richard L. Stroup, Russell S. Sobel, David A. Macpherson
Chapter4: Demand And Demand: Applications And Extensions
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Caffeine is a highly addictive drug found in coffee, tea, and some sodas. Unlike cigarettes, however,
there have been very few calls to tax it, regulate its consumption, or limit its use in public places. Why
the difference? Can you think of any economic arguments for regulating (or taxing) its use?
Transcribed Image Text:Caffeine is a highly addictive drug found in coffee, tea, and some sodas. Unlike cigarettes, however, there have been very few calls to tax it, regulate its consumption, or limit its use in public places. Why the difference? Can you think of any economic arguments for regulating (or taxing) its use?
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