SODA WARS: THE EFFECT OF A SODA TAX ELECTION ON UNIVERSITY BEVERAGE SALES

Rebecca L.C. Taylor, Scott Kaplan, Sofia B. Villas-Boas, Kevin Jung

Research output: Contribution to journalArticlepeer-review

Abstract

We examine how soda sales changed due to the campaign attention and election outcome of a local excise tax on sugar-sweetened beverages. Using panel data of beverage sales from university retailers in Berkeley, California, we estimate that soda purchases relative to control beverages significantly dropped immediately after the election, months before the tax was implemented in the city of Berkeley or on campus. Supplemental scanner data from off-campus retailers reveal this result is not unique to the university setting. Our findings suggest soda tax media coverage and election outcomes can have larger effects on purchasing behavior than the tax itself. (JEL D12, H20, C23, I38, Q18).

Original languageEnglish (US)
Pages (from-to)1480-1496
Number of pages17
JournalEconomic Inquiry
Volume57
Issue number3
DOIs
StatePublished - Jul 2019
Externally publishedYes

ASJC Scopus subject areas

  • General Business, Management and Accounting
  • Economics and Econometrics

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