New Yorks former Governor Paterson proposed a penny per ounc

New York’s former Governor Paterson proposed a penny per ounce tax on SSB but it did not pass. There were several anti-tax groups that lobbied heavily against the tax proposal. What type of people do you think would be opposed to this form of fat tax and what arguments do you think they would have?

Solution

People who manufacture carbonated drinks and sodas and also consumers who have such items on their regular grocery list would oppose such a tax . Beverage manufacturing companies would face a fall in demand due to this tax . Hence they would try to oppose it .

The argument they can easily put forth is that per ounce tax is actually a regressive tax which is being put on consumers in the name of health benefits .