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Alcohol, Labor, and Agriculture

Author

Listed:
  • David M. A. Murphy

Abstract

I evaluate a randomized control trial in rural Kenya in which selected households received cognitive behavioral therapy and medication to reduce alcohol abuse. At 16 months post-intervention, the program decreased the likelihood of positive spot breathalyzer tests among men by 14 percentage points (pp), the likelihood of heavy drinking by 19 points, and increased household real annual harvest values by 32 percent. The intervention's success is likely due to a confluence of mechanisms, including expenditure reallocation, improved self-control, and greater information sharing among peers. This study contributes to growing evidence illustrating the efficacy of psychological interventions in improving economic well-being.

Suggested Citation

  • David M. A. Murphy, 2026. "Alcohol, Labor, and Agriculture," American Economic Journal: Economic Policy, American Economic Association, vol. 18(3), pages 411-440, August.
    • Handle: RePEc:aea:aejpol:v:18:y:2026:i:3:p:411-40
    DOI: 10.1257/pol.20240361
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    More about this item

    JEL classification:

    • D91 - Microeconomics - - Micro-Based Behavioral Economics - - - Role and Effects of Psychological, Emotional, Social, and Cognitive Factors on Decision Making
    • I12 - Health, Education, and Welfare - - Health - - - Health Behavior
    • I18 - Health, Education, and Welfare - - Health - - - Government Policy; Regulation; Public Health
    • I31 - Health, Education, and Welfare - - Welfare, Well-Being, and Poverty - - - General Welfare, Well-Being
    • O12 - Economic Development, Innovation, Technological Change, and Growth - - Economic Development - - - Microeconomic Analyses of Economic Development
    • O13 - Economic Development, Innovation, Technological Change, and Growth - - Economic Development - - - Agriculture; Natural Resources; Environment; Other Primary Products
    • Q12 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Agriculture - - - Micro Analysis of Farm Firms, Farm Households, and Farm Input Markets

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