Information Economics - How Many Sugars in a Coke?
Government policy to improve diet and health includes voluntary industry pledges to reduce calories in products (including lowering sugar content), provide better labelling, supported by education campaigns to help people to make healthier choices
Do consumers of carbonated soft drinks really know how much sugar is in their regular fix? This five minute Newsnight clip is ideal for showing when teaching aspects of the economics of information failure. Will "getting the information in people's hands" help them to adjust their lifestyles? What are the economic arguments for and against direct intervention in the market for carbonated drinks such as a tax on high sugar content products? What are the alternative options or should we simply let consumers make their own choices?
In January 2013, Coca-Cola, released an advert to address the problem of obesity in the United States - watch it here