13. Economic Remedies and the Reduction of Obesity

The advantages of legislations to reduce obesity have been discussed, especially as it applies to all corporations equally, so that no corporation can claim a competitive disadvantage. Regulations may be required to reduce the external social costs of obesity. Various economic remedies have been discussed. Tax revenue gained from such corporations could be used to overcome the social costs caused by obesity; for example, a tax on sugar or fat content could be introduced; or the expense of advertising of such products may be disallowed as a company expense for income tax purposes. Why the imposition of such a tax may not be necessarily regressive has also been explained. The effect of advertising together with various marketing techniques has also been discussed.