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What Do the Bingers Drink? Micro-Unit Evidence on Negative Externalities and Drinker Characteristics of Alcohol Consumption by Beverage Types

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  • Preety Srivastava
  • Xueyan Zhao

Abstract

The recent debate on alcohol tax reform, recommendations from the national preventative health task force and from the Henry Tax Review in Australia have highlighted the need for quantifying externalities of excessive alcohol consumption by beverage types. This paper presents microlevel information from the Australian National Drug Strategy Household Surveys to examine the association between risky drinking behaviour, drinker characteristics, health and labour market status, and types of alcohol beverages consumed. Drinkers of regular-strength beer (RSB) and ready-to-drink spirits in a can (RTDC) have the highest incidences of heavy bingeing, whereas low-alcohol beer, fortified wine or bottled wine drinkers are least likely. Bottled spirits, RSB and RTDC are most likely to be linked to risky behaviour such as property damage, stealing, and verbal and physical abuse under alcohol influence. All three spirit products are overwhelmingly the favourable drinks for the underage and young drinkers. Risky drinking behaviour is not found to be associated with the alcohol strength of the products. Copyright (c) 2010 The Economic Society of Australia.

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Bibliographic Info

Article provided by The Economic Society of Australia in its journal Economic Papers: A journal of applied economics and policy.

Volume (Year): 29 (2010)
Issue (Month): 2 (06)
Pages: 229-250

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Handle: RePEc:bla:econpa:v:29:y:2010:i:2:p:229-250

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References

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  1. Preety Ramful & Xueyan Zhao, 2008. "Individual Heterogeneity in Alcohol Consumption: The Case of Beer, Wine and Spirits in Australia," The Economic Record, The Economic Society of Australia, vol. 84(265), pages 207-222, 06.
  2. Preety Srivastava, 2010. "Does Bingeing Affect Earnings?," The Economic Record, The Economic Society of Australia, vol. 86(275), pages 578-595, December.
  3. Bethany L. Peters & Edward Stringham, 2006. "No Booze? You May Lose: Why Drinkers Earn More Money Than Nondrinkers," Journal of Labor Research, Transaction Publishers, vol. 27(3), pages 411-421, June.
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Cited by:
  1. Joshua Byrnes & Dennis J. Petrie & Christopher M. Doran & Anthony Shakeshaft, 2012. "The Efficiency of a Volumetric Alcohol Tax in Australia," Applied Health Economics and Health Policy, Springer Healthcare | Adis, vol. 10(1), pages 37-49.
  2. Fogarty, James Joseph, 2011. "Optimal alcohol taxes for Australia," Working Papers 108669, University of Western Australia, School of Agricultural and Resource Economics.
  3. Kym Anderson, 2010. "Reforming Taxes on Wine and Other Alcoholic Beverage Consumption," Economic Papers, The Economic Society of Australia, vol. 29(2), pages 197-199, 06.
  4. Kym Anderson, 2010. "Excise and Import Taxes on Wine vs Beer and Spirits: An International Comparison," Wine Economics Research Centre Working Papers 2010-05, University of Adelaide, Wine Economics Research Centre.
  5. John Freebairn, 2010. "Special Taxation of Alcoholic Beverages to Correct Market Failures," Wine Economics Research Centre Working Papers 2010-06, University of Adelaide, Wine Economics Research Centre.
  6. Fogarty, James Joseph & Jakeman, Guy, 2011. "Wine tax reform: The impact of introducing a volumetric excise tax for wine," Working Papers 108667, University of Western Australia, School of Agricultural and Resource Economics.
  7. Preety Srivastava & Keith R. McLaren & Michael Wohlgenant & Xueyan Zhao, 2014. "Econometric Modelling of Price Response by Alcohol Types to Inform Alcohol Tax Policies," Monash Econometrics and Business Statistics Working Papers 5/14, Monash University, Department of Econometrics and Business Statistics.

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