Australia Considers A "Fat Tax"

We all know that healthy eating is the key towards longevity and a properly functioning immune system, though fast foods places and sugary drinks are still as popular as ever. Australia is looking for a way to combat that problem, and they may have found the solution.

Taxes. The measure is being called the "Australian fat tax," and the logic behind the move is pretty simple. By increasing the price of those foods which we know to be harmful to a healthy diet, the government hopes that it can dissuade people from consuming fatty foods.

The tax would be applied to all foods that have a saturated fat content that is greater than 2.3 grams. Among other things, this would include many meats, cheeses, oils, processed foods and of course, fast food.

"We think unhealthy foods should be taxed and the funds raised used to subsidize healthy food for people on a low income," said Jane Martin,  senior adviser with pressure group Obesity Policy Coalition in Australia, in 2011. "We know price plays a role in our decisions, and taxes are used in alcohol and tobacco sales to change people's behaviors  It would be interesting to see the impact the fat tax would have in Denmark."

Martin was referring to a similar measure that was enacted in Denmark for a while. The program, however, did not last for very long. Denmark has to pull the plug on its own fat tax because prices were rising for both consumers and companies alike, and as a result, Danish jobs were actually put in jeopardy.

"Rather than taxing foods, Governments should be looking for incentives for businesses to support their employees get regular exercise. This could be in the form of tax break on activities, gym memberships or other tailored fitness," Australia Broadcasting Corporation analyst Amy Bainbridge wrote several months ago.

Given the failure of Denmark's own fat tax, which had a complex assessment that equaled out to $3.00 for every 2.2 pounds of saturated fat, it might be wise to head in a different direction. Don't tell that to America however, as lawmakers in the United States seem to be considering some of the same measures as Australia.

This past March, New York City Mayor Michael Bloomberg actually proposed a complete city-wide bane on the sale of any sugary drinks larger that 16 ounces. The measure almost passed, getting nixed by a local judge in the eleventh hour. California is currently considering a tax on soda, as lawmakers are set to vote this year on a one-cent-per-ounce taxation on all sweetened beverages.