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What about an added sweetener tax instead?

by: Eddie C

Tue Mar 09, 2010 at 02:16:34 AM EST


Once again the debate over a "soda tax" is going strong here in New York and throughout the entire nation. The pros and cons of this tax are complicated but something needs to be done. Except what is being floated around here and by many governments in a nation of drinkable disasters is really both a natural sweetener tax and a promotion of artificial sweeteners.

The embattled Governor David Paterson proposed it last year as an "Obesity Tax" before public outcry temporally crushed it. The outcry was over this tax being a regressive tax that poor people would be forced to pay with little thought about parents telling their children "No you cannot have 87¢ for a Coke but you can have 75¢ for a Diet Coke." When diet sodas are exempt, since budget conscious shoppers will find drinks with artificial sweeteners and other chemicals to be money saving choices, it translates to government preaching better living through chemicals.

This tax seemed dead until Michael Bloomberg began presenting it as what it really is, an income generator. Now with Bloomberg's endorsement this tax is getting the "full court press" again and Paterson is holding multiple meeting on taxing sugary drinks. Meanwhile there are dueling TV ads here now but little thought about what is being taxed to curtail empty calories through a straw. In this battle of interest groups  is anyone actually thinking?

Eddie C :: What about an added sweetener tax instead?
Of course diet drinks might sound harmless enough but a study in 2005 claimed that diet soda drinkers not only gained weight;

The findings come from eight years of data collected by Sharon P. Fowler, MPH, and colleagues at the University of Texas Health Science Center, San Antonio. Fowler reported the data at this week's annual meeting of the American Diabetes Association in San Diego.

"What didn't surprise us was that total soft drink use was linked to overweight and obesity," Fowler tells WebMD. "What was surprising was when we looked at people only drinking diet soft drinks, their risk of obesity was even higher."

In fact, when the researchers took a closer look at their data, they found that nearly all the obesity risk from soft drinks came from diet sodas.

Bloomberg for all of his faults does seem to make an honest effort towards improving New Yorkers health and new sources of income that can be put to many good uses are desperately needed. Since there is no evidence to be found of anyone mentioning the drawbacks of promoting diet soda, public health policy being set by myopic calorie counting could be an oversight.

Since this new tax seems to be taking roots all over the public debate should move beyond "loss of small business" vs. "it worked for cigarettes."  


There is another serious issue here.  As you probably know from reading soda ingredients this is not really a sugar tax, this is a high fructose corn syrup tax. HFCS is rarely scrutinized and has never once been mentioned by the politicians in this debate. Mayor Bloomberg should consider the part played by the federal government in making soda cheaper than milk, juice and even bottled water. Federal subsidies play a big part in fast food restaurants offering bottomless soda cups.

While both sugar and HFCS represent empty calories, considering whether a substance so heavily subsidized should be curtailed by a state tax can give you a headache. The fact that a portion of our federal payroll tax is devoted to making soda as cheap as possible isn't really an argument against paying the state so we can consume it but it seems sort of crazy. Local politicians addressing what Washington has been doing to promote obesity would seem to make better sense than using their positions so that voters will pay once to make soda cheap and again to make it expensive.

This tax to save Americans from their obesity has been floated around on the fed level, even endorsed by our Diet Coke loving president. But since lobbyist make all the decisions there the best we can hope for is federally subsidized sodas that are taxed by our states and cities.  

Gov. Bill Ritter of Colorado signed bills to tax candy and soda last month and Illinois has found a sweet source of state revenue. California is considering legislation and Mayor Nutter of Philadelphia wants twice as much as Mayor Bloomberg.

But this exemption for diet drinks is troublesome. Even if studies like this one are exaggerating;

In support of this possibility, a recent study found that rodents fed the artificial sweetener saccharin lost the ability to accurately regulate calorie intake and gained weight. Another concern is that habitual consumption of artificial-sweetened beverages may "infantilize" taste preferences, especially among children. Compared to the hyper-intense sweetness of these beverages, fruit may seem bland and vegetables may seem inedible, adversely affecting overall diet quality. Indeed, two observational studies have linked artificially sweetened beverage consumption to higher risk for obesity, cardiovascular disease and type 2 diabetes.

Even if these artificial or chemically adjusted natural calorie free sweeteners have been tested enough, as this revenue generator spreads across the nation the message from cash strapped parents to their children will be that "aspartame is good and sugar is bad" has got to be a hindrance to children developing good eating habits.

Simply taxing added sweeteners no matter what the caloric value would be the more sensible solution.  The exemption for products that contain seventy percent natural fruit juices should be for 100 percent natural juices because 29 percent HFCS apple juice will become an overnight sensation.

If the success of the cigarette tax is going to be quoted over and over;

"It's an interesting experiment and one that's worth trying," said Marion Nestle, professor of nutrition, food studies and public health at New York University. "The theory behind this approach is that it worked for cigarettes, and that soft drinks are demonstrably related to obesity in children."

Than the cost to consumers should be set somewhere much higher than just some nickel and dime tax. A pack of cigarettes in NYC cost over ten bucks. One penny per ounce is just going to be government income where many people are concerned and will only modify the behavior of people on tight budgets.      

On Monday this new local tax had come up everywhere. The NBC Nightly News video covered how this tax will reduce American's weight and Katie Couric pointed out that New Yorkers favor this new tax while covering the war on soft drinks bubbling out of our schools.

Both of these stories mentioned a public relations victory for the soda industry because they played a role in reducing soda consumption in schools. President Clinton was the real player and he gave a fun answer when an American Beverage Association representative tried to get him to make a commitment against a soda tax;

"It's dumb for me to get involved in (the tax) debate when I can save God knows how many kids lives by making other agreements."

I'll get involved. I think a soda tax is good but not as a promotion of artificial sweeteners. How many years was sodium cyclamate considered safe? Not to mention that this government lost the battle to ban Saccharin while others succeeded. So why promote the unnatural?  

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Just a thought (3.00 / 3)

A thought for elected officials.

"Democracy only works when we claim it as our own" -Bill Moyers


This is cross-posted at Docudharma and La Vita Locavore (3.00 / 3)
Here's a fun read;

And now for the properties of COKE  /DIET COKE   :
1. In many states (in the USA) the highway patrol carries two gallons of coke in the truck to remove blood from the highway after a car accident.
2. You can put a T-bone steak in a bowl of Coke and it will be gone in two days.
3. To clean a toilet: Pour a can of Coca-Cola into the toilet bowl and knobs and let the "real thing" sit for one hour, then flush clean .
The citric acid in Coke removes stains from vitreous china.
4. To remove rust spots from chrome car bumpers: Rub the bumper with a rumpled-up piece of Reynolds Wrap aluminum foil dipped in Coca-Cola.
5. To clean corrosion from car battery terminals: Pour a can of Coca-Cola over the terminals to bubble away the corrosion.
6. To loosen a rusted bolt: Apply a cloth soaked in Coke so acid in Coca-Cola can dissolve the rust.


"Democracy only works when we claim it as our own" -Bill Moyers

I never realized how much damage I was doing myself for years (3.00 / 3)
till thousands of dollars later via the dentist and even then I was addicted to soda and luckily I eventually quit. not that I don't drink anything sweet(I have cut down though and drink mostly Gatorade and green tea), but that combination of sugar and carbonation is deadly and rots your teeth.

I'm all about a soda tax; it would pay for itself economically and health care wise since dental coverage is not included in hardly any health plans except for union plans they want to tax.



I'm not all about a soda tax (3.00 / 2)
It's a crock of horseshit really and a true regressive tax but I'd except it so state and local governments can function in the the short term.

I can't accept the promotion of a food chemical in a nation where the list of banned chemicals is so much shorter than other industrialized nations.  

What if say ten years from now some respected institution does a study, you know like the one that found that each year, 101,000 Americans die needlessly because they're not French but everyone made believe that they never read the story, so if in ten years scientist find that Aspartame is the equivalent to low doses of lead in childhood development. Now if the government had not been pushing the product for ten years there would be a fifteen year argument and millions of hours in human energy wasted in the denial of the charges. If it had had the good government seal of approval for the past ten years, forgetaboutit.

you should find and try Boylan's. Not only is it the very best tasting liquid sweetness, it is made from pure cane sugar instead of HFCS and comes wrapped in glass instead of BPA. Try it, you'll like it.  

"Democracy only works when we claim it as our own" -Bill Moyers


[ Parent ]
I don't know about how regressive the tax would be (3.00 / 1)
since we similarly fund SCHIP(and those commercials with the soda tax lady make me want to make the tax mandatory) by taxing cigs(and personally it's the only way to curb certain behaviors via taxing plastic bags so stores don't carry them as in Ireland is the only way to stop their use), and the money would come back later in overall savings of health care inflation going down also taking the pressure away from medicaid and what I mentioned via dentistry, but as you mention we do need it for state budgets in this economic climate whether one agrees with it or not. That is a good diary. I remember it.

Very relevant analysis on the chemical makeup of our food and government denial and I'll have to try Boylan's because HFCS synthetic nature is, I believe directly connected to our obesity problem unlike pure cane sugar.

Thanks, Eddie C. It's how you feel...





[ Parent ]
You know it doesn't matter what is funded.... (3.00 / 1)

when you define regressive tax? A regressive tax imposes a greater burden (relative to resources) on the poor than on the rich. So unless Wall St. bankers are drinking 50,000 bottles of soda pop a day, this is a regressive tax.

However since the present political atmosphere seems to make it impossible for politicians to pass a progressive tax and new sources of income that can be put to many good uses are desperately needed, it should be done.

Second question, is Meredith Baxter (also known for some years as Meredith Baxter-Birney) the soda pop lady?  

"Democracy only works when we claim it as our own" -Bill Moyers


[ Parent ]
In terms of the overall hidden costs poor people pay... (0.00 / 0)
It would pay off for people who would need those services in the future if, per chance, a soda tax was placed to fund Medicaid, SCHIP, Medicare, subsidies towards health care, that would be directly accessible to poor people while encouraging healthier living which is what is really this preventative care everyone is talking about. If this is targeted, it's not regressive.

To a certain extent, the consumerist monster we have unleashed onto our society, whether it's buying cheaper goods made in China at Walmart to the detriment of manufacturing jobs they would get or buying cheap junk food to stop the kids from screaming even though childhood obesity and diabetes is now an epidemic; it may seem like it's beneficial in the short term, but it's really not as these problems will cause the poor to go bankrupt in our system.

lack of dental problems which would save these families money if they didn't have them. I know from experience. I remember you posting a link about a kid who got a brain tumor from an abscessed tooth.

Dental problems are much more damaging and costly than a tax used to fund preventative care, which as I show in my last diary would save a lot of money for people at all levels of the income ladder and for everyone as no preventative care is a hidden tax on everyone when they go to the emergency room.

And I define a regressive tax as something like a flat tax and a sales tax, not a tax to encourage healthier living while funding a beneficial public system of health care like the proven SCHIP or safety net of any sort that is directly accessible and beneficial to the poor people whom benefit from it in preventive costs and in what they would get from it.

Wall Street hedge fund mangers shouldn't get to have the same tax rate as the poor or the middle class and they shouldn't be taxed on the same rate on consumption, because generally the rich do not need to consume as much as poor people which is why poor working people and middle class provide more demand in our economy and why bottom up policies work.

The poor don't stop paying taxes in a single payer system, everyone pays, everyone gets the benefits and it's a small step towards that in this case, at least from what I know of SCHIP, Medicaid and other programs that provide the direct access to care that my nieces and nephew get because smokers pay a little more for their cigarettes. I wouldn't be for it to fund any private health insurance.

However perhaps there is a misunderstanding here because I'm only supporting a limited target of this tax. Generally speaking as a general way to raise revenue, I would be against it and would be more inclined to focus on the return to the days of 70% or even 90% top bracket tax rates on top of that, but if any social programs that benefit the poor can be funded, it's not regressive. I would also be focused on taxing the rich's "unearned income".  This is basically any income that the rich do not have to work for: interest, capital gains, dividends, rent paid on real estate, etc. That is also progressive and long past its due.

Nah, that's not her. It's the lady who leaves her trunk open while she's talking to Washington.
Sorry for typing all that, there's just a lot of nuance to my position on this.



[ Parent ]
That's a whole lot of rationalizing over a penny an once. (0.00 / 0)
and this tax has nothing to do with federal. It is a state tax.

"Democracy only works when we claim it as our own" -Bill Moyers

[ Parent ]
I was talking about the concept in general (0.00 / 0)
referring to the federal tax that's no longer being considered, like when we used to see those commercials.

You know your state better than I do, let's just leave it at that.




[ Parent ]
And just to nit pick (0.00 / 0)
Although I'm writing this nicer that it reads, I think it's misleading to claim that some tax funds something. Pay as you go is one thing but nothing is actually funded. Congress can put the squeeze on SCHIP and move the funds from cigs anywhere they want. Actually when a government hasn't balanced the books in over ten years, referring to anything as funded is misleading.

In the same respect while Bloomberg claims the revenue will go to clinics, it really goes into general revenues. He can do whatever he wants with it. Turn around the day after this passes and say "it will go to placing security cameras on every street corner on the better streets of Manhattan to deter crime" or just ignore the new revenue and spend it wherever.

In NYC that is not the exception but the rule and the way funds have a tendency to just go elsewhere over and over is the Republicans best talking point. Talk about a source of mistrust for big government.

Back when congestion pricing was being debated, I should mention that Bloomberg's public debates were invitation only but I attended city council debates and forced in the issue of congestion pricing revenue I asked "The mayor says the money will be used for mass transit. Will it be used for mass transit by the next mayor?" Of course I was told there is no other way and was ignored when I said "Well how come we are copying everything from London except the part where London changed the city charter so that all congestion pricing revenue goes to public transit?"

I wrote letters to newspapers that were ignored and asked every elected official over and over but no answers. I even made the point with democrats that they keep turning voters into cynics. What we have left is a bunch of New Yorkers that respond to every tax with "Yea it's just like the pothole tax. See all the potholes?"

The dishonesty makes for a bad situation and cynical voters. We had OTB that was going to fix education and actually managed to operate in the red. Then when the voters were against Lotto, the ultimate regressive tax, that would fix education too but the money went elsewhere. And politicians wonder why New Yorkers protest new taxes. The worst part is that the candidates who talk about no new taxes like they mean it are the republicans.  

"Democracy only works when we claim it as our own" -Bill Moyers


[ Parent ]
Like I said, you know your state better than I do (0.00 / 0)
But my nieces and nephews have benefited from SCHIP along with many other children from the tax and I would only disagree with the first paragraph.

It does depend on who administers the funds in certain respects, but SCHIP is administered and regulated somewhat by the United States Department of Health and Human Services and if funds dissapear states don't get the funds provided by the matching funds to states for health insurance to families with children.

Rather than go into this a long time, I will just say that balanced budgets are not always the right way to go, especially in this great recession. More on that from Robert Reich. We should stop wars and pentagon spending, but the US has never defaulted on its debts, so I would say the idea that nothing is funded is technically not true or the government would collapse and no one would even buy US treasuries.

This is why federal administration was where I was going and why state exchanges are BS as well.

But I didn't mean to set you off on a rant. I went off on the general idea of a federal soda tax for too long, but I didn't mean to seem like I was condescending to you that your state should have a state soda tax, though I know you begrudgingly accept it under the circumstances.

My state brags about having no income tax while having some of the worst health care outcomes ever among other things. lots of oil and gas jobs to pollute the air and make people sick, yet we have the regressive sales tax that has very little to do with actual economic performance that is boasted by those in our state accordingly.

I still have little stomach for anti-tax arguments because as flawed as some governments and administers are, "the market" cannot take the its place as it didn't in the 19th century before the idea of an income tax came from Teddy Roosevelt.



[ Parent ]
Great post! (3.00 / 3)
Substantive... informative... all around awesome.  

I'm still kind of shocked that the "No Food Taxes" lady didn't endorse Doug Hoffman in NY - 23.  Seemed like a perfect fit.



Colbert Nation Gulf of America Fund


I quit drinking soda about a decade ago (3.00 / 1)
Bad for bones (colas and root beer contain phosphoric acid), bad for teeth (carbonation), bad for waistline (especially high-fructose corn syrup). Plus, studies say that artificial sweeteners increase insulin resistance.

If you drink soda, get it for special occasions. Choose sodas with natural flavors and real sugar (sucrose), which is less glycemic (less likely to inundate the body with glucose).



Abstinence programs breed hypocrites.


Found the soda pop store link at lavitalocavore (3.00 / 1)
and think that this is the way to go. Make it a treat and an adventure.

We're being seduced and fattened via our taste buds. The unexamined life turns out to be a very fat and unhealthy one, too.  

Abstinence programs breed hypocrites.


[ Parent ]
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