Who Pays For Obesity?
A common starting point is the assertion that those who are obese impose higher health costs on the rest of the population — a statement which is then taken to justify public policy interventions…We will argue that the existing literature on these topics suggests that obese people on average do bear the costs and benefits of their eating and exercise habits. We begin by estimating the lifetime costs of obesity. We then discuss the extent to which private health insurance pools together obese and thin, whether health insurance causes obesity, and whether being fat might actually cause positive externalities for those who are not obese. If public policy to reduce obesity is not justified on the grounds of external costs imposed on others, then the remaining potential justification would need to be on the basis of helping people to address problems of ignorance or self-control that lead to obesity…
Oops. There goes the whole reason for Mayor Bloomberg’s soda ban and his call for a soda tax. The study. HT: Jason Shafrin.






