The authors examine study participants who have Type 2 diabetes to determine whether cognition affects glucose levels in contrast to widely held suppositions. Thirty participants who have type 2 diabetes consume beverages that have identical ingredients but have deceptive nutrition facts labels. Blood glucose levels measured four times before and after beverage consumption show that blood glucose levels increase when participants believe the beverage has high sugar content as portrayed on the labels. Also, individual eating behaviors and nutritional satisfaction are linked to changes in blood glucose levels. The study results support the concept of anticipatory budgeting on glucose metabolism. The findings provide pressing evidence for the psychobiological model of chronic disease, suggesting that psychological intervention programs may be important for diabetes management, beyond current programs in which type 2 diabetes is managed through diet, exercise, and medications only.