The Impact of Four Alternative Policies to Decrease Soda Consumption

We examine the impact of four policy options on consumption of carbonated soft drinks (CSDs) by estimating a random-coefficient discrete-choice model of demand. Policy simulations using demand estimates indicate that the impacts of banning television advertising, limiting container size, and limiting calories on total consumption would be similar—an estimated 15.40–15.75 percent reduction. However, limiting calories would have a significantly greater impact on consumption of regular CSDs (–28.89 percent) and on calories consumed from CSDs (–19.34 percent). A tax on calories was least effective in curtailing overall consumption and consumption of regular CSDs.


Issue Date:
2014-04
Publication Type:
Journal Article
PURL Identifier:
http://purl.umn.edu/165904
Published in:
Agricultural and Resource Economics Review, Volume 43, Number 1
Page range:
53-68
Total Pages:
16




 Record created 2017-04-01, last modified 2017-12-02

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