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Will Fat Taxes Cause Americans to Become Fatter? Some Evidence from US Meats

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  • Clark, J. Stephen
  • Levedahl, J. William

Abstract

Price and income elasticities of fat from meats are estimated by decomposing composite demand for meat into the produ ct of total calories, the fraction of calories eat as fat, and a residual measure of quality. This demand-characteristic system provides estimates of the impact of prices and income on the fraction of calories eaten as fat as well as their affect on the total consumption of fat. Empirical estimates of the comp ensated own-price elasticities of meats suggest that a fat tax designed to raise revenues to finance nutritional education efforts may increase the total consumption of fat.

Suggested Citation

  • Clark, J. Stephen & Levedahl, J. William, 2006. "Will Fat Taxes Cause Americans to Become Fatter? Some Evidence from US Meats," 2006 Annual Meeting, August 12-18, 2006, Queensland, Australia 25710, International Association of Agricultural Economists.
  • Handle: RePEc:ags:iaae06:25710
    DOI: 10.22004/ag.econ.25710
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    References listed on IDEAS

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    1. Barbara Devaney & Robert Moffitt, 1991. "Dietary Effects of the Food Stamp Program," American Journal of Agricultural Economics, Agricultural and Applied Economics Association, vol. 73(1), pages 202-211.
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    Cited by:

    1. Cash, Sean B. & Lacanilao, Ryan D., 2007. "Taxing Food to Improve Health: Economic Evidence and Arguments," Agricultural and Resource Economics Review, Northeastern Agricultural and Resource Economics Association, vol. 36(2), pages 1-9, October.

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