In this interview, I commend the Czech Republic for its innovative risk reduction policy. I highlight their dual taxation system, which imposes higher taxes on harmful products and lower taxes on less harmful alternatives. This approach is a strong example of effective public health strategy!
To be clear, taxation can guide people who engage in high-risk behaviors - like excessive alcohol consumption, high sugar intake, and lack of physical activity - toward healthier, lower-risk alternatives, such as moderate alcohol use and more physical exercise. It’s essential for governments to make these healthier choices more affordable and accessible.
However, another key issue is fiscal uncertainty. To boost economic growth and address the demographic challenges of low fertility rates, policymakers should work to reduce this uncertainty. One effective approach would be to implement a "calendarization" system for taxes and government spending, where changes are announced well in advance. This system would provide a clearer roadmap for businesses and individuals, helping them plan better and reducing the negative impacts of unexpected changes. Consider the UK's Sugar Tax as an example. Proposed in 2016 and implemented in 2018, it provided a lead time that allowed companies to carefully plan their responses, softening the economic impact of what could have been a disruptive measure. Another example is Germany’s proactive investment in electric vehicles, starting in 2011. Today, this early commitment has helped make Germany one of the world’s top exporters of battery-powered vehicles.
Taking a long-term view and ensuring transparent communication about fiscal policies can also improve stability and confidence. Creating a stable environment can indirectly support higher birth rates by improving living standards and encouraging long-term family planning.
In short, we should differentiate taxes, as seen in the Czech Republic, to help promote a healthier population and workforce, which will drive productivity and economic growth. Additionally, planned, predictable taxation allows businesses time to adapt, further supporting economic expansion.
Brunel University of London Brunel Business School Press-office Brunel Brunel Public Policy
#health #heathcare #taxation #prevention
Ekonom Francesco Moscone chválí👏Česko za směr, kterým se vydalo v oblasti implementace inovativní politiky snižování rizik. Jako příklad dobré praxe zmiňuje dvě úrovně zdanění: jednu pro produkty s vyšším rizikem, například cigarety🚬, druhou pro výrobky s nižším rizikem, kterými jsou méně škodlivé alternativy.
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