Tag: Fiscal policy

Studies reveal that introducing a tax equivalent to a 10% increase on sugar-sweetened beverages (SSBs) has consistently led to an average decline in SSB purchases and dietary intake of 10.0%, according to a systematic review. This evidence demonstrates the effectiveness of such fiscal policies in influencing consumer behavior.

As of 2024, more than 100 jurisdictions worldwide have implemented taxes targeting unhealthy foods and beverages, often referred to as a junk food tax or sugar tax. These fiscal policies are a growing global trend aimed at improving public health by discouraging the consumption of products high in sugar, fat, and salt.

In March 2016, the UK government announced its intention to implement a Soft Drinks Industry Levy, but the question of when was the sugar tax passed is more complex, with different jurisdictions adopting their own versions at various times over the last decade. This global trend in taxing sweetened beverages reflects a growing concern over rising obesity rates and chronic disease worldwide.

The world's wealthiest 20% account for over 76% of total private consumption, demonstrating the significant economic and social impact of consumption patterns. However, the 'consumption method' is not a singular concept, encompassing different meanings depending on the industry or field in which it is applied.

According to the IMF, persistently high fiscal deficits can lead to a range of risks, from rising interest rates to financial crises, draining resources from the economy. Understanding what happens if the deficit is too high is crucial for grasping a nation's economic stability and long-term outlook.

According to a recent report from the Concord Action, sustained increases in the national debt will diminish the economic prospects of current and future generations. This alarming forecast raises a critical question for economists and citizens alike: Is a large deficit bad, or can it sometimes serve as a strategic economic tool?