More on the Economics of Obesity
Background:
High-energy density foods are less expensive per calorie than fresh fruits and vegetables…Data collected from a Seattle supermarket by Drewnowski (2004) suggest that, per calorie, carrots cost virtually five times more than cookies or potato chips and orange juice costs virtually five times as much as soft drinks… Between 1985 and 2000, fruit and vegetable prices in the US increased by about 40% while the price of soft drinks dropped by 23%.
Findings:
[Other things equal,] we find that a woman of average height who stated that prices were “not important at all” when purchasing food products had a weight circumference 4.5 centimeters (roughly 1.8 inches) smaller than those who stated that price was “very important.”
Full study on obesity and price sensitivity here.
Hard to believe that economics can explain all this.
Nancy, economics isn’t explaining it all. Preferences matter. And even genes probably matter. But given preferences and genes, ecnomic incentives make a major difference in what people do.
Does it follow that we could solve the obesity problem by taxing some foods and subsidizing others? I’m skeptical.
Education and habits matter. There’s nothing wrong with high density foods per se if you monitor your calories.