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Jun 28, 2013

The economic cure for the nation’s obesity: Hike the price of food.... Not enough starving?

There may be an economic cure for the nation's obesity: Hike the price of food.

Raising the price of a calorie for home consumption by 10 percent might lower the percentage of body fat in youths about 8 or 9 percent, according to new research from the National Bureau of Economic Research.

"An increase in the price of a calorie regardless of its source would improve obesity outcomes," according to a working paper that three researchers prepared for the private, nonprofit bureau.

As the nation confronts an epidemic of flab, many experts have pointed a finger at low food prices as a cause, leading to proposals for taxes on sugary drinks, fast-food and junk food, as well as reductions in government farm subsidies.

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