Food Prices and Obesity: Evidence and Policy Implications for Taxes and Subsidies

Childhood Obesity Research

By: Powell LM and Chaloupka FJ

In: Milbank Quarterly, 87(1), pp.229-257

Publisher: John Wiley & Sons Ltd.

Published: March 2009

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  • Food Prices and Obesity: Evidence and Policy Implications for Taxes and Subsidies

This article examines whether increasing the price of unhealthy foods can change patterns of food consumption and individual weight outcomes.

What researchers found: Statistically significant associations did exist in some studies between the price of food and body mass indexes, but the effects were generally small. In some cases, the relationship between pricing and body mass index was stronger for people at risk for overweight and for low-income populations. Small taxes on calorie-dense, unhealthy foods are unlikely to produce significantly lower body mass indexes. More research is needed to address the potential impact of larger price interventions.

Why we chose this publication: Food taxes or subsidies have been raised as potential means of addressing the obesity epidemic in the United States. This literature review suggests that neither small taxes on unhealthy foods and drinks, nor subsidies on fruits and vegetables will have a tremendous impact on decreasing obesity rates. Targeted preliminary interventions or subsidies may benefit low-income persons and those most at risk for overweight.

What researchers studied: The authors conducted a review of English-language articles published between 1990 and 2008 that analyzed the relationship between food pricing and consumption.

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