In some nations, excessive consumption of fast food deteriorates the well-being of people. Thus, it is mandatory for governments to charge a higher tax rate on such diets. This essay strongly agrees with this statement because it discourages the intake of unhealthy food and supports revenue collection to commence health awareness initiatives.
Imposing a greater tax rate demotivates individuals from eating too much instant food. According to prevailing economic theory, the purchasing decision of goods is directly influenced by their buying cost. In other words, the greater the purchasing price of a food item, the lower the buying rate. Therefore, if a government charges increased levies on fast food, its prices will increase considerably. Ultimately, it creates reluctance in the public’s desire to purchase them, which finally reduces their intake. For instance, Nepal imposes a ‘Luxury tax’ on alcoholic beverages; thus, the consumption of these beverages is lower than it would be if their prices were less.
Furthermore, taxes on unhealthy foods are a good source of revenue that can be utilized to initiate mindfulness campaigns in a society. The collected amount can be invested to organize various alertness programs, which in turn will make communities aware of the impacts of consuming poor diets. Consequently, residents will begin to prioritize eating healthy food over fast food. For example, Mexico utilizes a ‘Sugar tax’ imposed on sugary food items to conduct public wellness programs.
Putting them altogether, I am firmly in favor of applying uplifted duties on fast food. As a result, it will demotivate the public from consuming such foods due to their elevated cost and allow us to organize fitness initiatives from the amounts collected in tariffs.