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R E S E A R C H P A P E R

Childhood Obesity and Unhappiness: The Influence of Soft Drinks and Fast Food Consumption

Hung-Hao Chang Æ Rodolfo M. Nayga Jr.

Published online: 21 March 2009 � Springer Science+Business Media B.V. 2009

Abstract A growing body of literature has examined the determinants of childhood obesity, but little is known about children’s subjective wellbeing. To fulfill this gap, this

paper examines the effects of fast food and soft drink consumption on children’s over-

weight and unhappiness. Using a nationwide survey data in Taiwan and estimating a

simultaneous mixed equation system, our results generally suggest a tradeoff in policy

implication. Fast food and soft drink consumption tend to be positively associated with

children’s increased risk of being overweight but they are also negatively associated with

their degree of unhappiness. Current and future policy/program interventions that aim to

decrease fast food and soft drinks consumption of children to reduce childhood obesity

may be more effective if these interventions also focus on ways that could compensate the

increase in degree of unhappiness among children.

Keywords Unhappiness � Childhood obesity � Fast food � Soft drink � Taiwan

1 Introduction

The World Health Organization (WHO) has reported that obesity has become a growing

threat to human health both in developing and developed countries (World Health Orga-

nization 2000). The prevalence of childhood obesity is also of increasing public concern

around the world. For example, in Taiwan, childhood obesity has increased dramatically

over the past decades. In 1970, only about 2% of Taiwanese school-children were con-

sidered obese. By 1988, this figure has risen to 17% (Wu 2001). To date, one in every four

H.-H. Chang (&) Department of Agricultural Economics, National Taiwan University, No 1, Roosevelt Rd Sec 4, Taipei 10617, Taiwan e-mail: [email protected]

R. M. Nayga Jr. Department of Agricultural Economics and Agribusiness, University of Arkansas, Fayetteville, AR 72701, USA e-mail: [email protected]

123

J Happiness Stud (2010) 11:261–275 DOI 10.1007/s10902-009-9139-4

children is now considered overweight in Taiwan (Taiwan Medical Association for the

study of obesity (TMASO) 2007).

Childhood obesity is a major public health problem that has both individual and

environmental causes. Among all of the factors that may be related to children’s body

weight, the promotion of healthy eating has become a target of health promotion and

research programs (Ludwig et al. 2001). Consequently, a number of nutrition and public

health studies suggest the importance of examining the influence of fast food consumption

on children’s weight (e.g., Bowman et al. 2004; Hsieh and FitzGerald 2005; Hui et al.

2003). In addition to fast food consumption, the association between children’s soft drinks

(i.e., sugar-sweetened beverages) consumption and obesity has also been discussed in the

literature (e.g., Andersen et al. 2005; Ariza et al. 2004; Berkey et al. 2004; Forshee et al.

2004; Troiano et al. 2000). Some studies suggest that consumption of sugar-sweetened

beverages leads to higher energy intakes, which may place children at risk for excess

weight gain and obesity (Andersen et al. 2005; Anderson et al. 2003; Troiano et al. 2000).

However, empirical evidence found in the previous studies is still inconclusive. For

instance, based on data consisting of 10,371 children drawn from the U.S. National Health

and Nutrition Survey, Troiano et al. (2000) found that soft drinks contributed to high

proportions of energy intakes among overweight children. In contrast, the results presented

by Andersen et al. (2005) using data from 3,139 children in Norway showed an insig-

nificant association between consumption of soft drinks and overweight.

Little is known as well about the relationship between fast food and soft drinks con-

sumption as well as the extent to which these consumption behaviors may affect children’s

subjective wellbeing or happiness. Addressing the association between children’s sub-

jective wellbeing and food consumption is of particular policy interest because the

prevalence of children’s mental health problems has been increasing dramatically in recent

years (e.g., Currie and Stabile 2006; Lindberg and Swanberg 2006). In Taiwan, approxi-

mately 38% of school children have psychological or behavioral problems (Lin 2002).

Understanding the effects of factors that are correlated with children’s body weight and

their psychological/mental health is crucial in that if the reduction in children’s body

weight improves their physical health, the decrease in the likelihood of subjective well-

being may result in an adverse effect on their psychological or mental health. Hence,

policies and programs that aim to improve children’s overall health should take these

effects on children objective (i.e., obesity) and subjective (i.e., unhappiness) wellbeing into

account.

Research focusing on individual’s subjective wellbeing has received great attention

recently due to the fact that the rational vision of economic decision-making has come

under increasing scrutiny (Graham 2005). Since the maximum utility framework cannot

explain many circumstances of individual’s decisions, an alternative indicator of human

wellbeing from the field of psychological science has been proposed to explain human

behavior (e.g., Anand and Clark 2006; Cummins 2000). 1

One of the common indicators is

‘‘happiness’’ or ‘‘unhappiness’’, which measures individual’s subjective wellbeing.

Recently, the use of happiness indicator has received increasing attention from economists

(e.g., Frey and Stutzer 2002; Graham 2005; Easterlin 2001; Kahneman and Krueger 2006).

Most of the studies related to subjective wellbeing are focused on the examination of the

factors associated with adult’s subjective wellbeing. However, not much attention has been

paid on children.

1 Several indicators from the psychological science can also be found in Frey and Stutzer (2002).

262 H.-H. Chang, R. M. Nayga Jr.

123

The focus of this paper is based on two important questions. First, what factors are

associated with children’s fast food and soft drink consumption? Second, how do these two

types of consumption influence children obesity and unhappiness? Using a nationwide

survey data in Taiwan, our empirical results suggest that children’s fast food and soft drink

consumption are influenced by children’s characteristics and household features. Addi-

tionally, both soft drinks consumption and fast food consumption are positively associated

with children’s overweight and negatively associated with degree of unhappiness. If the

likelihood of children’s overweight and happiness represent their objective and subjective

wellbeing, our finding suggests that consumption of fast food and soft drinks can result in a

tradeoff between children’s objective and subjective wellbeing.

The remainder of this paper is constructed as follows. The data used in this study is

introduced in the following section. We then discuss the econometric strategy. After then

presenting and discussing the empirical results, we conclude with a brief summary and a

discussion of policy implications.

2 Data

We conduct the empirical analysis using data drawn from the National Health Interview

Survey at Taiwan (NHIS) in 2001. NHIS is an enumerative national survey conducted by

the National Health Research Institute of Taiwan (NHRI) to gather information on health

status and health behavior of the citizens. NHIS data were collected using a standardized

face-to-face interview between August 2001 and January 2002, and a multistage stratified

sampling scheme was used to select a probability sample. In the first stage, 359 townships

of Taiwan were divided into seven regions according to their geographic location. The

townships in each region were chosen based on their population size. Within each town-

ship, a number of lins (i.e., a smaller unit than township) were sampled with their

population size. 2

Therefore, NHIS is representative of the non-institutionalized population

in Taiwan (Lo et al. 2003). In all, 6,592 households and 26,658 adults were interviewed. In

addition, it captured survey data on a total of 3,977 children under 12 years old. These

adults and children data sets can be linked to each other based on the identification number

of each household. Since the cutoff points for body weight are only applicable for children

above 2-years old, we first limit our analysis to a sub-sample of children between 2 and 12-

years old. To capture the characteristics of the parents, we linked the adult data to the child

data set. 3

We then deleted the missing values of some key variables (such as body weight)

in the data, resulting in 2,366 children. 4

With respect to fast food and soft drinks consumption, respondents of NHIS are asked

the following questions: ‘‘How often does your child consume the following food item?’’

There are five categories that each respondent’s answer may fall into: never, seldom,

sometimes, often, and always. We assign a value between 0–4 (i.e., 0 for never, 1 for

seldom, 2 for sometimes, 3 for often, and 4 for always) to the answers for each food item

and sum up the scores for food items: French fries, pizza, and hamburger. This sum

represents our measurement for fast food consumption (the variable FASTFOOD). Also,

2 Detailed descriptions of the survey designs can be found in Lo et al. (2003) and Pan et al. (2003).

3 We exclude the children sample if their parents didn’t live with them.

4 To avoid the clustering effects as a result of multiple children from the same family, we follow the method

used in McIntosh et al. (2006) to randomly select only one child from each household.

Childhood Obesity and Unhappiness 263

123

the corresponding scores for soda and other sugar-sweetened beverages are our mea-

surement for soft drinks (the variable DRINK). In our sample, the mean values are 2.86 and

3.55 for children’s fast food and soft drink consumption, respectively.

The other two variables of particular interests are children’s weight status and the

degree of happiness. The weight status is defined by their body mass index (BMI). 5

Unlike

the case of adults, children’s BMI cannot be directly used to define their weight status, and

it has to be defined by age and gender based on the distribution of the population in the

same age. For instance, a child above 2-years old with a BMI above the 85th percentile and

less than the 95th percentile of the population is classified as at risk of being overweight.

The same child with a BMI above 95th percentile is considered at risk of being obese. In

this study, the cutoff points are made by age and gender and are determined by the Taiwan

Health Department. 6

In our sample, approximately 25% of children are considered over-

weight or obese. With respect to children’s degree of unhappiness, respondents of NHIST

are asked the following questions: ‘‘How often does your child feel unhappy, sad or

depressed?’’ Each respondent’s answer may fall into one of three categories: never,

sometimes, and often. Due to the low percentage of responses in the third category, we

combined the last two categories into a single category to represent if the child ever feels

unhappy, sad, or depressed. 7

In so doing, a binary indicator UNHAPPY is used to indicate

if the child feels unhappy. The sample statistics show that about 19% of children some-

times or often feel unhappy, sad or depressed. With respect to the influence of the fast food

and soft drinks consumption on children’s body weight and unhappiness, it appears that

children with fast food and soft drink consumption are likely to be overweight and less

unhappy (Table 1).

The other variables included in our analysis are built on the empirical specifications

from some of the previous studies (e.g., Anderson et al. 2003; Berkey et al. 2004; Bowman

et al. 2004; Crespo et al. 2001; Lin et al. 2004). Several variables of children’s charac-

teristics, household features, and geographical conditions are hypothesized to be associated

with children’s consumption, body weight, and happiness. In addition to these factors,

mother’s consumption of fast food and soft drink are included (FASTFOOD_M and

DRINK_M) to capture the importance of mothers’ consumption behavior on children.

Children’s characteristics are represented by age and gender (AGE and MALE). Because

soft drinks consumption has been shown to be associated with dental care (e.g., Marshall

et al. 2003), a dummy variable that specifies if the child has a routine visit with the dentist

(DENTIST) is included. Also, a dummy variable that specifies if the child has ever stayed

Table 1 Sample means of overweight and unhappiness

Children with fast food or soft drink consumption

If child is overweight 0.26

If child is unhappy 0.17

Children without fast food or soft drink consumption

If child is overweight 0.22

If child is unhappy 0.22

5 It is measured as the ratio of weight (in kilogram) to height squared (in meters).

6 The cutoff points for determining overweight or obese weight status in Taiwan can be found on the

website http://www.vghtpe.gov.tw/*nutr/forum/forum02/bmi2.htm. 7

The percentages of these categories in our sample are 80, 18, and 2, respectively.

264 H.-H. Chang, R. M. Nayga Jr.

123

at the hospital in the past 6 months (HOSPITAL) is included to reflect his/her health

condition. Several household characteristics are included as well. Family incomes are

defined in several categories (HHINC2, HHINC3, HHINC4, and HHINC5). To reflect the

effects of other household members on children’s behavior, the variable LONGCARE

indicates if any of the household members needs long term medical care. Finally, com-

pared to the northern area (the reference group), three regional dummies (SOUTH, EAST,

CENTER) are specified to indicate if the household is located in the south, east, and center

of Taiwan, respectively. Urbanization variables are also specified to indicate if the

household is located in the central city (CITY) or county (COUNTY). The sample statistics

of variables used in this study is listed in Table 2.

3 Econometrics Strategy

The econometric framework consists of two parts. First, we estimate a mixed structure

simultaneous-equation system for the effects of factors that are associated with children’s

fast food and soft drink consumption, and the likelihood of being overweight, and

Table 2 Sample statistics

Variable definition Mean SD

Dependent variables

FASTFOOD Child’s fast food consumption (0–12) 2.86 1.88

DRINK Child’s sugar drink (0–8) 3.55 1.95

OVERWEIGHT If the child is overweight or obese (=1) 0.25 0.43

UNHAPPY If the child is unhappy (=1) 0.19 0.40

Mother’s food consumption

FASTFOOD_M Mother’s fast food consumption (0–12) 1.52 1.73

DRINK_M Mother’s sugar drink consumption (0–8) 3.14 1.81

Children characteristics

AGE Age of the child in years 7.14 2.87

MALE If male (=1) 0.51 0.50

HOSPITAL If ever stay in hospital in the previous year (=1) 0.06 0.23

DENTIST If dentist visit in the past 6 months (=1) 0.56 0.50

Household factors

HHINC2 If monthly income NT$50,000 * 70,000 (=1) 0.24 0.43

HHINC3 If monthly income is NT$70,000 * 100,000 (=1) 0.17 0.38

HHINC4 If monthly income is NT$100,000 * 150,000 (=1) 0.11 0.32

HHINC5 If monthly income is more than NT$150,000 (=1) 0.07 0.25

LONGCARE If any family member needs long care (=1) 0.12 0.33

Region and local economy conditions

CITY If located in central city (=1) 0.56 0.50

COUNTY If located in county area (=1) 0.23 0.42

CENTER If located in central Taiwan (=1) 0.39 0.49

SOUTH If located in southern Taiwan (=1) 0.25 0.43

EAST If located in eastern Taiwan (=1) 0.04 0.20

2,366 children are included

Childhood Obesity and Unhappiness 265

123

unhappiness. To capture the potential correlations between these behaviors, this model is

estimated with a simulated maximum likelihood estimation method. To validate our

empirical specification, the second part of this section introduces the statistical tests for

testing the endogeneity assumption and the restricted exclusions.

3.1 Estimating the Mixed Structure Model

We estimate a four-equation simultaneous-equation system. The first two equations rep-

resent the fast food and soft drink consumption of children, and the other two equations

represent children’s likelihood of being overweight and unhappiness. This model is mixed

in that children’s consumption of fast food and soft drink are censored and the variables

representing children’s risk of being overweight and unhappiness are binary indicators.

Suppose i represents each child, the simultaneous equation system is specified as:

y�1i ¼ xib1i þ zik1 þ e1i y�2i ¼ xib2i þ zik2 þ e2i

y�3i ¼ xib3i þ y1ia1 þ y2ia2 þ e3i y�4i ¼ xib4i þ y1ic1 þ y2ic2 þ e4i

ð1Þ

yj ¼ y�j iff y � j [ 0 and yj ¼ 0 iff y

� j 50 ðj ¼ 1 and 2Þ

yk ¼ 1 iff y�k [ 0 and yk ¼ 0 iff y � k 50 ðk ¼ 3 and 4Þ

where y1 *

and y2 *

are the unobserved latent variables that represent children’s fast food

and soft drink consumption, respectively. y3 *

and y4 *

are the unobserved latent variables

that represent the likelihoods of being overweight and unhappy. Since not every child

consumes fast food or soft drink, these two variables may be censored at zero value. y3 and y4 are the binary indicators counterparts for the latent variables y3

* and y4

* . Xi are

vectors of common exogenous factors that are associated with child’s food consumption

and the risk of being overweight and unhappy. The vector Zi contains the excluded

variables that are associated with child’s food consumption but not directly affecting

his/her likelihood of being overweight and unhappy. The vectors (a; b; c; k) are the parameter of interests.

The vectors ej are random errors, which assume to follow a multivariate normal dis-

tribution u ð0; RÞ, with zero mean and the covariance R r21 ::: ::: ::: q21 r

2 2 ::: :::

q31 q32 1 ::: q41 q42 q43 1

2 664

3 775.

For identification purpose, the variances of e3; e4 are normalized to be 1 as the con- ventional strategy used in the binary probit model (Greene 2003). Overall, 16 regimes can

be realized by the data, and the probability of each regime can be derived. For instance, the

probabilities that (y1 [ 0, y2 [ 0, y3 = 1, y4 = 1) and (y1 = 0, y2 = 0, y3 = 0, y4 = 0) are

8 :

8 To save space, we didn’t present the derivatives of the probability of other regimes. However, they can be

derived in a similar way.

266 H.-H. Chang, R. M. Nayga Jr.

123

Pr ðy1 [ 0; y2 [ 0; y3 ¼ 1; y4 ¼ 1Þ

¼ fðe1; e2Þ Z1

�Xb3�y1 a1�y2 a2

Z1

�Xb4�y1c1�y2 c2

gðe1; e2je3; e4Þ de1de2 ð2Þ

Pr ðy1 ¼ 0; y2 ¼ 0; y3 ¼ 0; y4 ¼ 0Þ¼ Z�Xb1

�1

Z�Xb2

�1

Z�Xb3

�1

Z�Xb4

�1

gðe1; e2e3; e4Þ de1de2de3de4:

ð3Þ By combining the probability of the 16 possible regimes, the consistent estimates can be

obtained by implementing the maximum likelihood estimation method on the following

log-likelihood function.

log L ¼ XN i¼1

log Prðy1; y2; y3; y4Þ � di ð4Þ

where the dummy indicator di represents the specific regime that each individual may fall into.

To estimate Eq. 4, it is necessary to evaluate the multivariate normal density function.

The simulated maximum likelihood (SML) method based on the Geweke-Hajivassiliour-

Keane (GHK) smooth recursive conditioning simulator is used. It has been shown that the

GHK simulator is unbiased for any number of replications and generates smaller variances

than other simulators (Train 2003). Additionally, it has been shown to be the most

unambiguously reliable method for simulating normal probabilities (Hajivassiliou et al.

1996). Simulating the multivariate normal probability in the likelihood function is a

practical alternative to numerical evaluation of the probability integrals.

Given the consistent estimates of the Eq. 4, the effects of the fast food and the soft drink

consumption on children’s overweight and unhappiness can be evaluated according to the

average treatment effects on the sample means (Greene 2003). For instance, the effects of

fast food consumption on children’s overweight and unhappiness can be shown as:

ATEðy3Þ¼ Uðxb̂3 þ â1 �y1 þ â2 �y2Þ� Uðxb̂3 þ â2 �y2Þ ð5Þ

ATEðy4Þ¼ Uðxb̂4 þ ĉ1 �y1 þ ĉ2 �y2Þ� Uðxb̂4 þ ĉ2 �y2Þ ð6Þ

where x represents the vectors of the means values of the explanatory variables. 9

3.2 Statistical Tests

To validate the empirical specification, two statistical tests are conducted: weak instru-

ments test and test for endogeneity. The endogeneity issue arises if the error terms of the

simultaneous-equation mixed model are correlated. The endogeneity test also justifies the

need to estimate the four equation system simultaneously. Since this equation system is

estimated by the maximum likelihood estimation method, a likelihood ratio test can be

9 The interpretation of the treatment effect is similar to the continuous outcome variable case discussed on

page 787–788 in Greene (2003). However, it is of note that the average treatment effect in our case is the differences in the predicted probability, instead of the expected values as the continuous variable case.

Childhood Obesity and Unhappiness 267

123

used to test if all of the error correlations are exogenous. Specifically, the null hypothesis is

that all of the estimated correlation coefficients are equal to zero. The test statistic follows

the chi-square distribution with degree of freedom 6 in our case.

Unlike the two-stage estimation procedure of the instrumental variable method for

which exclusion conditions are necessary for model identification, the identification cri-

teria are met due to the nonlinear functional form and distributional assumption for the

current mixed system (i.e., Eq. 4). However, some exclusion restrictions are useful to

avoid full reliance on the functional form nonlinearity for identification. 10

In this study,

mother’s fast food and soft drink consumption are selected as the exclusion variables in

children’s body weight and unhappiness equations. To validate our exclusion variables,

the weak instruments test is conducted to investigate if the excluded variables have

enough explanatory power for model identification. Although most of the applications of

the weak instrument tests proposed by Staiger and Stock (1997) are for the linear model,

Kan (2007) provided a modification to a non-linear model. Using a similar strategy in Kan

(2007), the weak instruments test involves estimating the binary tobit model for children’s

fast food or soft drink consumption and testing if the excluded instruments (i.e., mother’s

consumption of fast food and soft drink beverage) have enough explanatory power. A

likelihood ratio test is implemented and the test statistic follows a chi-square distribution

(say x2) with the degree of freedom M (2 in our case). To be consistent with Staiger and Stock (1997), the likelihood ratio test statistic can be covered with a F statistic as: x2=M �FðM;1Þ.11

4 Empirical Results

The estimations of the mixed simultaneous equation system and the results of the statistical

tests are exhibited in Table 3. We begin our discussion of the results by looking at the

findings of the statistical tests (the bottom in Table 3). Since mother’s fast food and soft

drink consumption are used as exclusion variables that directly affect children’s con-

sumption of these two food items, but not directly affect the risk of being overweight and

unhappiness of children, a statistical test is conducted to see if these exclusions are sta-

tistically weak. The weak instrument test is conducted separately for children’s fast food

consumption and soft drink equation. The results of the tests are encouraging. The values

of the likelihood tests are 42.17 and 33.22 for children’s fast food and soft drink equations,

respectively. These are asymptotically equal to 21 and 17 of the F statistics,12 and both of which are higher than 10 (the critical value) proposed by Staiger and Stock (1997).

Therefore, we may conclude that mother’s fast food and soft drink consumption are sta-

tistically strong to identify her children’s fast food and soft drink consumption.

As in the conventional simultaneous equation system, error correlations accommodate

endogeneity between equations (Amemiya 1973). The investigation of the correlations of

children’s fast food, soft drink consumption, overweight, and unhappiness are also of

interest since it could justify the need to estimate a mixed system. A likelihood ratio

test is conducted to investigate if these correlations are statistically equal to zero

10 Discussions of the model identification through the nonlinear functional form are on page 121 in Maddala

(1983). 11

A detailed discussion of the proposed test procedure can be found on page 71–72 in Kan (2007). 12

The asymptotic statistics of the likelihood ratio test to the F test is discussed in Kan (2007).

268 H.-H. Chang, R. M. Nayga Jr.

123

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Childhood Obesity and Unhappiness 269

123

T a b

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270 H.-H. Chang, R. M. Nayga Jr.

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(i.e., uncorrelated). The result of the likelihood ratio test is 283, which is higher than the

conventional significance level of the chi-squared distribution (x2(0.95,6) = 12.95). Therefore, this result is supportive of the joint estimation of a mixed system to improve the

efficiency of the estimators. Additionally, the estimated correlation coefficient between

child’s fast food and soft drink consumption is 0.277, and it is statistically significant. This

shows that fast food and soft drink consumption are positively correlated due to common

unobserved characteristics. Additionally, 8.5 and -6.8% correlations are found between

child’s fast food consumption and the risk of being overweight and unhappiness, respec-

tively. These results indicate that fast food consumption of children is associated with risk

of being overweight and unhappiness due to unobserved factors. Similar evidence is

revealed between child’s soft drink consumption and being overweight or obese (20.7%).

4.1 Factors Associated with Children’s Fast Food and Soft Drink

The variables that significantly influence children’s fast food and soft drink consumption,

overweight, and unhappiness include mothers’ food consumption, children and family

characteristics, and geographical or regional factors. To begin, we first examine the factors

that are associated with child’s consumption of fast food and soft drinks. Results point out

that mother’s fast food and soft drink consumption positively contributes to children’s food

consumption. This result may not be inconsistent with the belief that mothers have some

control on children’s food choice, or may reflect the fact that mothers usually spend more

time than other family members on children’s food consumption (e.g., Lindsay et al. 2006).

Children’s characteristics also affect their food consumption. For instance, children’s

age is positively correlated with their consumption of fast food and soft drink. Also,

children who have regular dental examinations consume more fast food and soft drink than

those who do not have regular dental examinations. Household characteristics also play an

important role on children’s fast food consumption. Compared to those in lower income

households, children living in households with income between NT$50,000 and NT$

70,000 are more likely to consume soft drinks.

Finally, geographical and locational variables also significantly affect children’s food

consumption. Compared to children living in small towns (the reference group), children

who live in city and county areas consume more fast food and soft drinks. This may reflect

the fact that children living in city areas have easy access to convenience stores or res-

taurants that provide fast food and soft drink, which increases the frequency of

consumption. It is also no surprise that fast food consumption is lower on children living in

households located in eastern Taiwan. Compared to the north part of Taiwan (reference

group), eastern Taiwan has less business and commercial activities. Therefore, the fast

food consumption of children may be lower due to the limited availability of fast food

restaurants.

4.2 Factors Associated with Children’s Overweight and Unhappiness

Perhaps, the most interesting finding and contribution of this paper is the association

between children’s fast food and soft drink consumption, and their objective and subjective

wellbeing. Results show that children who consume more fast food and soft drink are more

likely to be overweight but are less likely to be unhappy. The estimated average treatment

effects of children’s fast food and soft drink on overweight are 0.02 and 0.151. That is,

after controlling for the socioeconomic factors and other exogenous determinants,

Childhood Obesity and Unhappiness 271

123

compared to children who don’t consume these two food products, those children have

more likely to be overweigh by 2 and 15%, respectively. However, those children have 5

and 4.6% lower probabilities of being unhappy. Several points are noticeable from this

finding. First, this result is continuing to confirm the findings of previous studies regarding

the positive association between children fast food consumption and body weight (e.g.,

Chen et al. 2006). Second, this finding contributes to the debate of the influences of

children’s soft drink consumption on body weight. Consistent with the findings in Troiano

et al. (2000), a positive association between soft drinks consumption and the risk of being

overweight or obese is evident. Third, our results demonstrate that children’s consumption

of fast food and soft drink are positively correlated with their happiness.

Other factors that are significantly associated with children’s weight status include the

characteristics of children, household, and geographical and regional conditions. For

example, compared to children living in lower income households, children who live in

households with family income between NT$70,000 and NT$100,000 are less likely to be

overweight or obese. This result is consistent with the finding in Anderson et al. (2003)

using the NHANES 1988–1994 data in the United States. Household characteristics also

influence children’s likelihood of being overweight and obese. Results indicate that chil-

dren living in households with at least one member needing long care medical service are

less likely to be overweight or obese. Regions and geographic variables also significantly

determine children’s body weight. Compared to children living in the north part of Taiwan,

children who live in households located in the southern part have higher risk of being

overweight or obese.

Factors that determine children’s unhappiness are similar to the findings of the weight

status. Consistent with the findings in previous studies indicating the importance of the

association between children’s age and the psychological/mental health (e.g., Frey and

Stutzer 2002), results show that child’s age is negatively associated with their happiness.

Consistent with the finding of factors determining children body weight, children living in

households with long care family members are more likely to feel unhappy, sad or

depressed. Urbanization and geographic locations are also significant determinants of

children’s happiness. Compared to children who live in the rural area, those who live in the

city or county areas have higher propensity to be unhappy. This may reflect the envi-

ronmental effects of living in a city than in a rural area (e.g., pollution, noise, security,

etc.). The effects of environmental factors on children’s subjective wellbeing can be further

confirmed by the finding that, compared to children in the northern area of Taiwan,

children living in the eastern part of Taiwan are found to be less unhappy.

5 Concluding Remarks

Extensive literature has examined the factors that are associated with children’s objective

wellbeing (i.e., body weight), but relatively little is known about children’s subjective

wellbeing (i.e., unhappiness). Focusing on children’s consumption of fast food and soft

drink, this paper investigates the association between children’s fast food and soft drink

consumption, and the risk of being overweight and unhappy. No other known study has

evaluated the effect of fast food and soft drinks consumption on children’s obesity and

unhappiness. Moreover, in contrast to previous studies, we estimate a mixed system

allowing for the endogeneity between children’s food consumption and wellbeing.

Using a nationwide survey data in Taiwan, our results show that children’s character-

istics and household factors, as well as the geographical conditions, are associated with

272 H.-H. Chang, R. M. Nayga Jr.

123

children’s consumption of fast food and soft drinks. Specifically, mother’s fast food and

soft drinks consumption behavior is found to be positively associated with their children’s

fast food and soft drinks consumption. In our analysis, the error correlations between fast

food and soft drink consumption, and children’s weight status and happiness are significant

and interrelated. Therefore, it is necessary to estimate these equations simultaneously. With

respect to the effects of children’s fast food and soft drink consumption on children’s

wellbeing, our results suggest a trade-off in the influence of food consumption on child-

hood obesity and unhappiness since while consumption of fast food and soft drinks is

positively associated with childhood obesity, they also tend to make them less unhappy.

This finding is of particular policy interest since current policy strategies for decreasing the

prevalence of childhood obesity have focused on child’s objective wellbeing (e.g., body

weight), and far less attention has been paid to the examination of the subjective wellbeing.

Interestingly, our results also imply that consumption of fast food and soft drinks is

negatively correlated with degree of unhappiness. While the definitive assessment of the

mechanisms underlying these associations is complicated, these findings may imply that

there could be a tradeoff between children’s obesity and happiness with reductions in fast

food and soft drink consumption. It is then possible that policy interventions would be

insufficiently effective in reducing childhood obesity if they do not take into account the

effect of policy prescriptions such as reducing fast food and soft drinks consumption on

children’s happiness. Policy or program prescriptions should take this tradeoff into account

to facilitate reduction in childhood obesity without sacrificing children’s degree of hap-

piness. Hence, current and future policy/program interventions that aim to decrease fast

food and soft drinks consumption of children to reduce childhood obesity may be more

effective if these interventions also focus on ways that could compensate the potential

reduction in degree of happiness of children.

Future research should accommodate the other types of food items (e.g., fruit and

vegetable etc.) that may increase children’s happiness but at the same time may not

increase body weight. However, including more items of food consumption is chal-

lenging in model estimation. One caveat from our analysis is that due to data limitations,

our measure for food consumption is based on frequency scores and not actual amount

consumed by children and our measure for degree of children’s unhappiness is based on

subjective observations from parents. In addition, we could not include an exercise

variable in our model due to data limitations. Admittedly, the addition of an exercise

variable may moderate the effects of fast food and soft drink consumption in the

analysis. Hence, future research should replicate our analysis with more measures related

to exercise and other lifestyle behaviors to test the robustness of our findings. With data

availability, the addition of psychological factors should also be included in the analysis

to further assess the robustness of our findings. For example, consumption of fast food

and soft drink may be addictive or may lead to depression and feeling of being

exhausted. If this is the case, then it is possible that consumption of fast food and soft

drink may just be a temporary relief from an addiction and may then not be associated

with a true happy feeling.

Acknowledgments Hung-Hao Chang acknowledges partial funding support from the National Science Counsel of Taiwan under Grant No: 95-2415-H-002-041. The data used in the analysis is provided by the Bureau of Health Promotion, Department of Health and National Health Research Institute in Taiwan. The interpretation and conclusions do not represent those of Department of Health and National Health Research Institute. The authors accept responsibility for any remaining errors or omissions.

Childhood Obesity and Unhappiness 273

123

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