Week in Insights: Sin Taxes Don’t Have to Be Political Bogeymen

Many people associate the term “sin tax” with a Big Brother government that watches its population of subordinates, determining what behaviors are desirable or undesirable and discouraging the latter.

But what if a tax on something with deleterious health effects could be recast as sound fiscal policy?

A recent study out of Australia, in collaboration with Deakin University and the University of Melbourne, found that a 20% tax on sugary drinks had a 10-year $63.5 million return on investment for Australian society writ large. The savings come in the form of reduced dental decay and a decrease in life ...