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Why Are There so Few Breweries in the South?

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  • Stephan F. Gohmann

Abstract

Most southern states have fewer breweries per population than the rest of the country. This paper examines why. The main outcome is that in the South, the number of breweries is negatively associated with higher campaign contributions from big breweries, the number of beer distributors per capita, and the Southern Baptist adherence rate. In the non–South, these associations are insignificant or positive. The limited number of breweries in the South follows the idea of bootleggers and Baptists where those who gain economically from limited competition—large breweries and distributors—side with groups morally opposed to alcohol to keep breweries out.

Suggested Citation

  • Stephan F. Gohmann, 2016. "Why Are There so Few Breweries in the South?," Entrepreneurship Theory and Practice, , vol. 40(5), pages 1071-1092, September.
    • Handle: RePEc:sae:entthe:v:40:y:2016:i:5:p:1071-1092
    DOI: 10.1111/etap.12162
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    Cited by:

    1. Staples, Malone & Chambers, Dustin & Malone, Trey, 2020. "The economic geography of beer regulations," Center for Growth and Opportunity at Utah State University 307180, Center for Growth and Opportunity.
    2. Trey Malone & Jayson L. Lusk, 2019. "Releasing The Trap: A Method To Reduce Inattention Bias In Survey Data With Application To U.S. Beer Taxes," Economic Inquiry, Western Economic Association International, vol. 57(1), pages 584-599, January.
    3. Trey Malone & Jayson L. Lusk, 2016. "Brewing up entrepreneurship: government intervention in beer," Journal of Entrepreneurship and Public Policy, Emerald Group Publishing Limited, vol. 5(3), pages 325-342, November.
    4. Trey Malone & Dustin Chambers, 2017. "Quantifying Federal Regulatory Burdens in the Beer Value Chain," Agribusiness, John Wiley & Sons, Ltd., vol. 33(3), pages 466-471, June.
    5. Trey Malone & Jayson L. Lusk, 2018. "If you brew it, who will come? Market segments in the U.S. beer market," Agribusiness, John Wiley & Sons, Ltd., vol. 34(2), pages 204-221, March.
    6. Howard, Philip H., 2018. "Craftwashing in the U.S. Beer Industry," EconStor Open Access Articles and Book Chapters, ZBW - Leibniz Information Centre for Economics, vol. 4(1), pages 1-13.
    7. Trey Malone & Josh Hall, 2017. "Can liberalization of local food marketing channels influence local economies? A case study of West Virginia’s craft beer distribution laws," Economics and Business Letters, Oviedo University Press, vol. 6(2), pages 54-58.
    8. Aaron J. Staples & Dustin Chambers & Trey Malone, 2022. "How many regulations does it take to get a beer? The geography of beer regulations," Regulation & Governance, John Wiley & Sons, vol. 16(4), pages 1197-1210, October.
    9. Wesley M. Friske & Miles A. Zachary, 2019. "Regulation, New Venture Creation, and Resource-Advantage Theory: An Analysis of the U.S. Brewing Industry," Entrepreneurship Theory and Practice, , vol. 43(5), pages 999-1017, September.
    10. Miao, Chao & Gast, Johanna & Laouiti, Rahma & Nakara, Walid, 2022. "Institutional factors, religiosity, and entrepreneurial activity: A quantitative examination across 85 countries," World Development, Elsevier, vol. 149(C).

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