Merit and Demerit Goods Debate The UK government sees alcohol, tobacco and drugs as demerit goods.

It imposes taxes, has banned advertising, and has laws in an attempt to reduce consumption. The aim is to improve the health of the UK, and to reduce the burden on the NHS and taxpayer. However, is it actually imposing these to discourage consumption, or to benefit from the high taxes imposed on these goods, with the front of appearing to want to improve health? After all Zimbabwe spends more money as a %GDP than the UK! Why have Big Macs not been taxed? Why does KFC or Nestle not receive taxation on their goods as obesity levels rise! Similarly has enough been done to encourage the use of merit goods, such as museums? The number of people leaving school at 16 is high, and youth unemployment is at an all time high. Has there been two enormous market failures in the UK for some time, which the government has failed to see? You decide Articles: NHS Are Westerners Addicted to Alcohol and Fatty Foods? Westerners are genetically programmed to drink alcohol and eat unhealthy foods, according to DNA analysis, reported The Daily Telegraph. It said that scientists have discovered that Europeans are more likely than Asians to have genes which urge them to gorge on fatty foods, beer and wine. This laboratory research investigated the role of the galanin gene in dietary preferences and mood. The galanin protein molecule coded for by the gene is produced in areas of the brain that are involved with emotions and memory. Previous studies have suggested that galanin could influence fat intake, anxiety and mood-related behaviours in rodents, while human studies have suggested an association with alcoholism and other addictive behaviours. This study investigated how the galanin gene is regulated in brain cells and, specifically, whether regulatory sequences of DNA positioned near the gene could act as a genetic switch, turning the gene on or off. At present, very limited implications can be drawn from this research. The galanin gene and its coded protein may be involved in the regulation of food and alcohol consumption, but others could also potentially be involved, and there is no guarantee that the DNA sequences examined here are the main regulating factors for the gene. Much more convincing evidence would need to be presented to conclude that people in the West are programmed to become obese. A healthy diet and regular exercise with moderation of alcohol intake are the best ways to maintain a healthy lifestyle, regardless of our genetics.

Museums as Merit Goods Culture Minister David Lammy has signalled the government's intention to continue its policy of free entry to our national museums with the release of figures showing a 5 million rise in visitors since entry fees were scrapped in December 2001. Despite an 11% drop in visits to all government-sponsored museums and galleries in London since the terrorist bombings on 7 July 2005, figures show that visits to former charging London museums were up by 66% since December 2001. Of the former charging museums in London, the V&A registered the highest rise in visitor numbers with 94%, the Natural History Museum clocked 83% while the Science Museum saw its visitor figures rise by 54%. However, the largest rise was enjoyed outside the capital, at National Museums Liverpool, which recorded a dramatic increase in visitors of 129% across the period. 'We strongly believe museums should be free to everyone, whatever their background, and should provide visitors with a great experience,' said David Fleming, Director of National Museums Liverpool. Overall, the regional museums registered a rise of 72% with the Museum of Science and Industry in Manchester recording a healthy rise of 48% and the National Railway Museum in York 43%. The national museums that have always been free, such as the British Museum, National Gallery and Tate, rose by an overall 2% over the same period. Of the free admission policy, Mr Lammy seemed to indicate continued government support when he added: 'It is a cornerstone of this government's cultural policy. And we can be proud of its continuing success and what it means for our country's museums and galleries, and our tourism industry.'

Kicking the habit is good for you and the NHS right? The Economist 2002 Pity the British smoker: cast on to the pavement to face the elements, just to light up. High cigarette taxes are supposed to wean Britons off tobacco and raise money for the NHS. But smokers tend to die younger than non-smokers, who require, on average, even greater spending than smokers for other chronic ailments. So by reducing smokers' life expectancy, tobacco saves government money, even without considering the pension benefits that go unclaimed by dead puffers. So the lower classes, who do most of the smoking, are probably subsidising the healthcare of the better-off, who have largely given up.