There is a new study out on the relatively new “soda” tax (“pop” here in western PA) that has been imposed in Berkeley, CA and descriptive words like “flat”, and “fizzled” are accompanying the initial analysis, such as this one.

The researchers assumed that the demand for pop would be inelastic and that most of the tax would be passed on to consumers, thus raising the price and discouraging consumption.  The ability to cross borders and purchase such drinks in non-taxed areas has some impact, it appears.

So why is this topic being mentioned?  For the fact that Pittsburgh, way back in 2010, had a proposal for a pop tax proposed by the Mayor at the time.    It came right after a variety of other revenue raising ideas, all of which would have had to pass through Harrisburg as local governments can’t create new subjects of taxation without state approval.  We then noted how the idea migrated out west, and Berkeley adopted it but San Francisco did not.