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Scientists at the University of California, San Francisco, San Francisco General Hospital and Trauma Center and Columbia University estimated that such a tax would generate $13 billion in new tax revenue, but it would also save $17 billion in healthcare-related expenses thanks to associated declines in obesity-related diseases.
Americans drink 13.8 billion gallons of soda, fruit punch, sweet tea, sports drinks and other sweetened beverages annually. The average American drinks 70,000 calories or 45 gallons per year of the beverages, which are linked to type 2 diabetes and weight gain, according to the study.
Economists estimate that a one-cent tax would cut consumption of the beverages 10 to 15 percent over a decade. “You would prevent 240,000 cases of diabetes per year,” said Kirsten Bibbins-Domingo, an associate professor of medicine and of epidemiology and biostatistics at UCSF, said in a statement.
For the article "A Penny-Per-Ounce Tax on Sugar-Sweetened Beverages Would Cut Health and Cost Burdens of Diabetes," the researchers calculated how many sodas and sugary beverages Americans drink per year and how many fewer they would consumer if the tax were imposed. On that basis, the scientists estimated how many fewer cases of diseases, like heart disease, would take place, along with the associated decline in healthcare costs.
Richmond is considering imposing a citywide soda tax, as The Bay Citizen has reported.
© The Bay Citizen, 2012
Helene Gelber-Lehman
Bravo to those who want to tax sodas, but why isn't there any discussion of taxing all junk food. I have repeatedl proposed to our state legislators, a 2% tax on all junk foods, which would save still more lives and revive our ailing state coffers.
b s
Just do it already! I completely support this.
Mark Harvey
Alcohol is highly taxed - how many lives have been saved? Due to the obesity problem has soda now reached the level of being a sin and therefore a sin tax? Safeway has a 20-pack of Coke on sale for $5.00 will a penny really cause 10-15% of purchasers to not buy? Come on use some common sense.
Katharine Mieszkowski
Hi Mark: Just to be clear, the tax they're talking about is one center PER OUNCE. So, a 16oz Coke would cost 16 cents more, etc. best, Katharine
Katharine Mieszkowski
I meant to say "one cent PER OUNCE." Sorry for the typo.
Howard Epstein
Who is going to give jobs to people soft drink manufacturers and distributors are forced to lay off?
Katharine Mieszkowski
Howard, that's a provocative question. But isn't it also possible the soda manufacturers, which also sell diet sodas and bottled water, will just market and sell more of those other beverages? I find it hard to believe that all the people who do not want to pay a premium for sugary drinks would just keep their money in their pockets and drink tap water instead.