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Predicting the Effects of Sugar‐Sweetened Beverage Taxes on Food and Beverage Demand in a Large Demand System
Open accessAbstract
A censored Exact Affine Stone Index incomplete demand system is estimated for 23 packaged foods and beverages and a numéraire good. Instrumental variables are used to control for endogenous prices. A half‐cent per ounce increase in sugar‐sweetened beverage prices is predicted to reduce total calories from the 23 foods and beverages but increase sodium and fat intakes as a result of product substitution. The predicted decline in calories is larger for low‐income households than for high‐income households, although welfare loss is also higher for low‐income households. Neglecting price endogeneity or estimating a conditional demand model significantly overestimates the calorie reduction.
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Cites
Specification Tests in Econometrics
Hausman, J. A. (1978) · Econometrica · doi:10.2307/1913827 · Cited by 18,820
Danaei, G., Ding, E. L., Mozaffarian, D., Taylor, B., Rehm, J., Murray, C. J. L., & Ezzati, M. (2009) · PLoS Medicine · doi:10.1371/journal.pmed.1000058 · Cited by 2,860
Guthrie, J. F., Lin, B.-H., & Frazao, E. (2002) · Journal of Nutrition Education and Behavior · doi:10.1016/s1499-4046(06)60083-3 · Cited by 973
Cited by
Policy lessons from health taxes: a systematic review of empirical studies
Wright, A., Smith, K. E., & Hellowell, M. (2017) · BMC Public Health · doi:10.1186/s12889-017-4497-z · Cited by 316
An economy of scales: A selective review of obesity's economic causes, consequences, and solutions
Cawley, J. (2015) · Journal of Health Economics · doi:10.1016/j.jhealeco.2015.03.001 · Cited by 315
Equity impacts of price policies to promote healthy behaviours
Sassi, F., Belloni, A., Mirelman, A. J., Suhrcke, M., Thomas, A., Salti, N., Vellakkal, S., Visaruthvong, C., Popkin, B. M., & Nugent, R. (2018) · The Lancet · doi:10.1016/s0140-6736(18)30531-2 · Cited by 165
Natalini, D., Jones, A., & Bravo, G. (2015) · Sustainability · doi:10.3390/su7044360 · Cited by 31
Metadata
- Authors
- Zhen, C., Finkelstein, E. A., Nonnemaker, J. M., Karns, S. A., & Todd, J. E.
- Venue
- American Journal of Agricultural Economics
- Publisher
- Wiley
- Published
- 2013-07-29
- Volume
- 96
- Issue
- 1
- Pages
- 1-25
- ISSN
- 0002-9092 (ISSN-L)
- 1467-8276
- OpenAlex
- W2121865085
- Cited by
- 274
- References
- 3
- FWCI
- 42.67
- Type
- journal article
- Language
- en
- Open access
- green
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- Zhen, C., Finkelstein, E. A., Nonnemaker, J. M., Karns, S. A., & Todd, J. E. (2014). Predicting the Effects of Sugar‐Sweetened Beverage Taxes on Food and Beverage Demand in a Large Demand System. American Journal of Agricultural Economics. https://doi.org/10.1093/ajae/aat049
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