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Raising the Price of Eating

Sometimes, it’s good to talk to economists. Although most of them failed to predict the recession, they are still able to tell us interesting things about the way we behave. One of these interesting ideas comes under the heading of elasticity of demand. This studies the way people react to changes in the price of goods and services. Sometimes, this is slightly counterintuitive. For example, significantly raising the prices of goods and services considered in the luxury class can actually increase demand. More obviously, raising the prices on must-have goods and services will usually reduce demand. The reasons are not hard to find. The higher the price, the fewer the people who can afford the product. So people want to buy the product, and be seen wearing or using it to prove to the world they have the money. It’s a status trap. But if the price of gas rises to, say, $4 per gallon, the average driver will find this a deterrent to using the gas guzzler and so drive less.

There is an increasingly strong political movement building behind the idea of using price disincentives to modify eating behavior. The plan calls for new taxes on drinks with high sugar content and most junk food. This is a declaration of war along the same lines as taxes on cigarettes. Just as higher prices can reduce demand for tobacco, the same logic is adopted by the anti-obestiy lobby. Why should this be taken seriously? Because the majority of US states have budget deficits as tax revenues have fallen. Given the billions of dollars lost through the poor productivity and the treatment of obesity-related diseases, the idea of taxing high calorie foods is quite attractive to legislatures. The Congressional Budget Office estimates that adding 3 cents to the cost of the standard can of soda will produce $50 billion over ten years while cutting consumption. Additional revenue with a health benefit makes for good politics! But, of course, the opponents strike back, characterizing this as a “sin tax”. The nanny state is taxing all the things we like to eat. But when education has failed to persuade Americans to change their eating habits, perhaps it really is time to raise the price of sinful foods.

While this battle plays out in budgetary committees around the US, people still have the problem of how to reduce their weight and stay healthy. The answer, as always, is to use phentermine together with a reduced-calorie diet and a program of physical exercise. Why phentermine? Because over the last fifty years and more, it has consistently proved itself as the most effective appetite suppressant on the market. Other drugs have been launched on to the market and have failed or been withdrawn for a variety of reasons. This is the only drug that has not only managed to keep going, but also to steadily increase its market share. Eating less saves you money. When you eat less, you lose weight. When you lose weight, you reduce the risks of diseases shortening your life. You know it makes sense so buy phentermine online today and start shedding those pounds.