A Tale of Two Vices
A recent study prepared by researchers at the University of Michigan’s Institute for Research on Labor, Employment, and the Economy examines the various methods by which states regulate the sale of alcohol. Among the findings is that state ownership of alcohol sales equates with lower consumption, and that state control over alcohol wholesaling generates much higher revenue that a licensing system. The research also reveals the diminishing importance of state alcohol taxes, which leads Reports to examine why alcohol is treated differently than tobacco.