Hunt Allcott, Associate Professor of Economics at New York University, will deliver a talk (rescheduled from the fall) in the Behavioral Policy Speaker Series, Thursday, April 19, 4:30-6:00 p.m. in 399 Julis Romo Rabinowitz Building.
Allcott, who research focuses on consumer behavior, business strategy, and regulatory policy, will speak on “sin taxes”—corrective taxes on goods like cigarettes, alcohol, and sugary drinks, which are believed to be over-consumed. A common objection to these taxes is that they fall disproportionately on low-income consumers. Allcott will present results from a study that looks at the interaction between corrective and redistributive motives in a general optimal taxation framework in the spirit of Atkinson and Stiglitz (1976). The study calibrates the model using the Nielsen Homescan dataset of household grocery purchases combined with a specially designed survey measuring temptation and health knowledge.