Denmark’s government is implementing a “fat tax”, by doing so it thinks that it’s going to limit the population’s fatty intakes. It has become the first country to take such measures, would you stop eating fatty foods because there’s a tax on them? we’re supposed to do it from our own desire, not because the government wants us to do so. Why don’t they reduce the prices of organic food, if they want their country to become healthy then?. Consumers over stocked on butter, milk, meat, and anything with saturated fat so they won’t pay the tax.
In my opinion, adding these taxes won’t stop individuals from buying these goods. As i recently learned in my Econ class, these goods don’t have substitutes and so they are inelastic to price changes (at the most part). Although fatty products aren’t a necessity, individuals can’t just give them up and become healthy all of a sudden. Either they find a cheap substitute, or in most cases they are going to buy what they need with the tax implemented. So the real question is, does the government really care of what it’s country eats, or is it just an excuse for them to add more taxes? that we will never know.
Full Article HERE.