Economist, professor, author and political commentator Robert Reich. (photo: Richard Morgenstein)
09 September 14
was phoned the other night in middle of dinner by an earnest young man named Spencer, who said he was doing a survey.
Rather than hang up I agreed to answer his questions.
He asked me if I knew a soda tax would be on the ballot in Berkeley in
November. When I said yes, he then asked whether I trusted the Berkeley
city government to spend the revenues wisely.
At that moment I recognized a classic “push poll,” which is part of a paid political campaign.
So I asked Spencer a couple of questions of my own.
Who was financing his survey? “Americans for Food and Beverage Choice,”
he answered. Who was financing this group? “The American Beverage
Association,” he said.
Spencer was so eager to get off the phone I didn’t get
to ask him my third question: Who’s financing the American Beverage
Association? It didn’t matter. I knew the answer: Pepsico and Coca Cola.
Welcome to Berkeley, California: Ground Zero in the Soda Wars.
Fifty years ago this month, Berkeley was the epicenter of the Free Speech Movement. Now, Berkeley is moving against Big Soda.
The new movement isn’t nearly dramatic or idealistic
as the old one, but the odds of victory were probably better fifty years
ago. The Free Speech Movement didn’t challenge the profitability of a
one of the nation’s most powerful industries.
Sugary drinks are blamed for increasing the rates of
chronic disease and obesity in America. Yet efforts to reduce their
consumption through taxes or other measures have gone nowhere. The
beverage industry has spent millions defeating them.
If on November 4 a majority of Berkeley voters say yes
to a one-cent-per-fluid-ounce tax on distributors of sugary drinks,
Berkeley could be the first city in the nation to pass a soda tax. (San
Franciscans will be voting on a 2-cent per ounce proposal requiring
two-thirds of them approve; Berkeley needs a mere majority.)
But if a soda tax can’t pass in the most progressive
city in America, it can’t pass anywhere. Big Soda knows that, which is
why it’s determined to kill it here.
Taxing a product to reduce its consumption has been
effective with cigarettes. According to the American Cancer Society,
every 10 percent increase in the cost of a pack of cigarettes has caused
a 4 percent decline in the rate of smoking.
And for years cigarette manufacturers waged an
all-ought war to prevent any tax or regulation. They eventually lost,
and today it’s hard to find anyone who proudly smokes.
Maybe that’s the way the Soda Wars will end, too.
Consumption of sugary soft drinks is already down somewhat from what it
was ten years ago, but kids (and many adults) are still guzzling it.
Berkeley’s Soda War pits a group of community
organizations, city and school district officials, and other individuals
(full disclosure: I’m one of them) against Big Soda’s own “grassroots”
group, describing itself as “a coalition of citizens, local businesses,
and community organizations” without identifying its members.
Even though a Field Research poll released in February
found 67 percent of California voters (and presumably a similar
percentage of Berkeley voters) favor a soda tax if revenues are spent on
healthy initiatives, it will be an uphill fight.
Since 2009, some thirty special taxes on sugary drinks
have been introduced in various states and cities, but none has passed.
Not even California’s legislature, with Democratic majorities in both
houses, could enact a proposal putting warning labels on sodas.
Even New York City’s former and formidable mayor
Michael Bloomberg – no slouch when it came to organizing – lost to Big
Soda. He wanted to limit the size of sugary drinks sold in restaurants
and other venues to16 ounces.
But the beverage industry waged a heavy marketing
campaign against the proposal, including ads featuring the Statue of
Liberty holding up a giant soda instead of a torch. It also fought it
through the courts. Finally the state’s highest court ruled that the
city’s Board of Health overstepped its authority by imposing the cap.
Fifty years ago, Berkeley’s Free Speech Movement
captured the nation’s attention and imagination. It signaled a
fundamental shift in the attitudes of young Americans toward older forms
of authority.
Times have changed. Four years ago the Supreme Court
decided corporations were people under the First Amendment, entitled to
their own freedom of speech. Since then, Big Soda has poured a fortune
into defeating ballot initiatives to tax or regulate sugared drinks.
But have times changed all that much? In its battle with Big Soda, Berkeley may once again make history.
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