PSU news by
Penn State's student blog

Topics

About

Note to Goreham: Taxes Affect Consumption

The Collegian ran an article this morning about a proposed 10% tax on poured drinks being discussed by small town leaders across the state. State College Mayor Elizabeth Goreham was quoted as saying,

“It would not discourage people from drinking. If it did, it’s not a bad thing.”

Thanks for playing, Liz, but you’re wrong.

Increasing the price of booze in bars is going to, according to economic theory, do precisely what Goreham believes it won’t; that is, “discourage people from drinking” in bars. See the nifty chart I found on the Internet to visualize why this is.

So what would be the actual impact of a poured drink tax? Sure, some bar and lounge enthusiasts might simply drink less on each visit (the novelty!), but another reaction to seeing your bar tab go up 10% would be to refrain from going to the bar at all and take the party elsewhere, to a house or apartment in downtown State College. And that’s something that would probably be “a bad thing.”

About the Author

Davis

Creator of @OnwardState. Big fan of sweaters.

Comments

More by Davis

Penn State and the Process of Life

To paraphrase Mark Twain: The reports of higher education’s death have been an exaggeration. American universities produce more research and relevant knowledge for the world at large than any other institutions I know of. Tuition may be too damn high, but over the long-run, undergraduate degrees are definitely worth the cost. But Penn State could be so much more. It used to be, I think.

Bonded in Blue, White, and Worry

43 Simmons

Athletics

Shea Moyer Lifts Penn State Women’s Soccer Past West Virginia 1-0

Sophomore midfielder Shea Moyer scored the game-winning goal in the 80th minute of a rainy season opener at Jeffrey Field.

Penn State Women’s Soccer Poised For Strong 2018 Season

Incoming Penn State Track & Field Athlete Kristian Marche Shot To Death In Philadelphia

Former Women’s Gymnastics Coach Files Lawsuit Against Penn State Over Handling Of Abuse Allegations

Men’s Soccer Trio, Reading United Win PDL Eastern Conference Title, Fall Short Of National Championship

Student Life

Start The Semester Off Right With These Welcome Week Activities

Don your brightly-colored college shirt and officially begin your Penn State career with these Welcome Week activities.

Nike Releases New Penn State Sneakers

Penn State Parking Office Runs Into Student Permit Purchase Issues

Plans Submitted For New KFC In State College

Developers have submitted preliminary land development plans to build a new KFC restaurant at 1780 S. Atherton St. in State College.

Join Onward State: Fall 2018 Application

Onward State is hiring for the fall semester and we’d love to have you join us.

Start The Semester Off Right With These Welcome Week Activities

Don your brightly-colored college shirt and officially begin your Penn State career with these Welcome Week activities.

Be the first to know

  • Top posts and the best Penn State stories

Thank you for subscribing.

Something went wrong.

Assessing Penn State’s Front Seven Following Tuesday’s Medical Retirements

Penn State’s defensive line rotation will be shaken up following Ryan Buchholz’s medical retirement from football, while the coaching staff is letting the linebackers duel it out during camp.

Send this to a friend