Abstract

Does Western fast-food contribute to the emerging global epidemic of obesity? This paper examines its impact in China the number of KFCs exceeds the number in the US. Utilizing community-year level data on the presence of McDonald's, KFC, and Pizza Hut outlets, and controlling for individual and year fixed effects, we find that the presence of a fast-food restaurant increases children’s likelihood of being overweight/obese by 6 percentage points. Different from developed countries, the effect in China, where fast food is not yet considered to be an unhealthy diet, is stronger among middle-high income families.

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