It is argued that governments should levy a tariff on junk food because the number of health risks associated with consuming this kind of food is on the rise. This essay agrees that a higher rate of tax should be paid by fast-food companies. Firstly, alcohol and tobacco companies already pay higher taxes; secondly, higher taxes could raise prices and lower consumption.
Higher excise on liqueur and cigarettes has proven to curb the harm caused by these substances. This revenue has been used to treat health problems associated with these products and has proven useful in advertising campaigns warning people about the dangers of alcohol and tobacco abuse. Tax from fast food could be used in the same way. The United Kingdom is a prime example, where money from smokers is used to treat lung cancer and heart disease.
Increasing taxes would raise prices and lower consumption. Fast food companies would pass on these taxes to consumers in the form of higher prices, leading to people not being able to afford junk food because it is too expensive. Junk food would soon become a luxury item, and it would only be consumed occasionally, which would be less harmful to the general public’s health. For instance, the cost of organic food has proven prohibitively expensive for most people, and that is why only a small percentage of the population buys it regularly.
In conclusion, junk food should be taxed at a higher rate because of the good precedent set by alcohol and tobacco and the fact that the increased cost should reduce the amount of fast-food people buy.