My April post on
The Economics of a Soda Tax has been a favorite with readers, drawing more hits than almost any other post on microeconomic policy. Unfortunately, it appears that a soda tax is less popular with the electorate than it is with readers of this blog. In a ballot initiative this month, voters in my home state of Washington endorsed a repeal of the state's pioneering tax on soda and candy by a nearly 2:1 margin. It seems that we have to look elsewhere for a resolution to the twin crises of obesity and insolvency.
Soft paternalism meets tyranny of the majority. It's kind of surprising though...I'd have guessed that perhaps the soda industry might have engaged in some rent-seeking behavior.
ReplyDeleteOn a tax related note...what do you think the outcome would be if tax payers were allowed to vote with their taxes?