Junk Food, Health and Productivity: Taste, Price, Risk and Rationality
AbstractJunk-food consumption, health and productivity are analyzed within an expectedlifetime- utility-maximizing framework in which the probability of living and productivity rise with health and health deteriorate with the consumption of junkfood. So long that the junk food’s relative taste-price differential is positive, the rational diet deviates from the physiologically optimal and renders the levels of health and productivity lower than the maximal. Taxing junk-food can eliminate this discrepancy but the outcome is not Pareto-superior. The value of health and the stationary junk-food consumption and health depend on the relative taste-price differential, survival and satisfaction elasticities and time preference-rate.
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Bibliographic InfoPaper provided by School of Economics, University of Wollongong, NSW, Australia in its series Economics Working Papers with number wp06-22.
Length: 28 pages
Date of creation: 2006
Date of revision:
Contact details of provider:
Postal: School of Economics, University of Wollongong, Northfields Avenue, Wollongong NSW 2522 Australia
Phone: +612 4221-3659
Fax: +612 4221-3725
Web page: http://business.uow.edu.au/econ/index.html
More information through EDIRC
junk-food; healthy-food; relative taste; relative price; health; risk; lifequality; productivity; rationality; self-control;
Find related papers by JEL classification:
- I12 - Health, Education, and Welfare - - Health - - - Health Production
- D91 - Microeconomics - - Intertemporal Choice - - - Intertemporal Household Choice; Life Cycle Models and Saving
This paper has been announced in the following NEP Reports:
- NEP-AGR-2007-07-20 (Agricultural Economics)
- NEP-ALL-2007-07-20 (All new papers)
- NEP-HEA-2007-07-20 (Health Economics)
Please report citation or reference errors to , or , if you are the registered author of the cited work, log in to your RePEc Author Service profile, click on "citations" and make appropriate adjustments.:
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