Sales of sugar-sweetened beverages at stores in Seattle dropped about 30.5% in the monthsafter the city adopted a tax on such beverages, says a new study that also looked at sales atstores in Portland, which has no such tax.Sales in Portland declined only 10.5%, suggesting sales in Seattle dropped much more thanthey would have without a tax, according to the peer-reviewed study by University of Illinoisat Chicago researchers.The study’s results are the first to measure the impact of Seattle’s tax on beverage sales inthe city, and they may bolster claims by supporters that the controversial policy is workingas intended.“From a public health perspective, this is good,” said Jay Krieger, a University of Washingtonprofessor who heads the nonprofit Healthy Food America. “People are purchasing lesssugary drinks, and we know that sugary drinks are associated with heart disease, diabetes,high blood pressure and strokes.”Seattle’s tax of 1.75 cents per fluid ounce, which took effect on Jan. 1, 2018, is charged todistributors of sugar-sweetened beverages. Distributors can pass the tax on to stores, andstores to consumers. Proponents said the tax would reduce soda sales and raise money forhealth and education programs.Explain, with the aid of a diagram, how a soda tax such as the one described above wouldimpact consumers, producers and society more generally.Comment on whether or not you support such a tax and why.
Sales of sugar-sweetened beverages at stores in Seattle dropped about 30.5% in the months
after the city adopted a tax on such beverages, says a new study that also looked at sales at
stores in Portland, which has no such tax.
Sales in Portland declined only 10.5%, suggesting sales in Seattle dropped much more than
they would have without a tax, according to the peer-reviewed study by University of Illinois
at Chicago researchers.
The study’s results are the first to measure the impact of Seattle’s tax on beverage sales in
the city, and they may bolster claims by supporters that the controversial policy is working
as intended.
“From a public health perspective, this is good,” said Jay Krieger, a University of Washington
professor who heads the nonprofit Healthy Food America. “People are purchasing less
sugary drinks, and we know that sugary drinks are associated with heart disease, diabetes,
high blood pressure and strokes.”
Seattle’s tax of 1.75 cents per fluid ounce, which took effect on Jan. 1, 2018, is charged to
distributors of sugar-sweetened beverages. Distributors can pass the tax on to stores, and
stores to consumers. Proponents said the tax would reduce soda sales and raise money for
health and education programs.
Explain, with the aid of a diagram, how a soda tax such as the one described above would
impact consumers, producers and society more generally.
Comment on whether or not you support such a tax and why.
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