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Global Alcohol Markets: Evolving Consumption Patterns, Regulations, and Industrial Organizations

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  • Kym Anderson

    () (School of Economics, University of Adelaide, Adelaide, South Australia 5005, Australia)

  • Giulia Meloni

    () (LICOS Center for Institutions and Economic Performance and Department of Economics, KU Leuven, Leuven 3000, Belgium)

  • Johan Swinnen

    () (LICOS Center for Institutions and Economic Performance and Department of Economics, KU Leuven, Leuven 3000, Belgium)

Abstract

For millennia, alcoholic drinks have played an important role in food security and health (both positive and negative), but consumption patterns of beer, wine, and spirits have altered substantially over the past two centuries. So too have their production technologies and industrial organization. Globalization and economic growth have contributed to considerable convergence in national alcohol consumption patterns. The industrial revolution contributed to excess consumption by stimulating demand and lowering the cost of alcohol. It also led to concentration in some alcohol industries, especially brewing. In recent years, the emergence of craft producers has countered firm concentration and the homogenization of alcoholic beverages. Meanwhile, governments have intervened extensively in alcohol markets to reduce excessive consumption, raise taxes, protect domestic industries, and/or ensure competition. These regulations have contributed to, and been affected by, the evolving patterns of consumption and changing structures of alcohol industries.

Suggested Citation

  • Kym Anderson & Giulia Meloni & Johan Swinnen, 2018. "Global Alcohol Markets: Evolving Consumption Patterns, Regulations, and Industrial Organizations," Annual Review of Resource Economics, Annual Reviews, vol. 10(1), pages 105-132, October.
  • Handle: RePEc:anr:reseco:v:10:y:2018:p:105-132
    DOI: 10.1146/annurev-resource-100517-023331
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    References listed on IDEAS

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    1. Swinnen, Johan & Briski, Devin, 2017. "Beeronomics: How Beer Explains the World," OUP Catalogue, Oxford University Press, number 9780198808305.
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    Citations

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    Cited by:

    1. Lara Cockx & Giulia Meloni & Johan Swinnen, 2019. "The Water of Life and Death: A Brief Economic History of Spirits," LICOS Discussion Papers 41719, LICOS - Centre for Institutions and Economic Performance, KU Leuven.
    2. Kym Anderson, 2020. "Evolving from a rum state: Australia's alcohol consumption," Australian Journal of Agricultural and Resource Economics, Australian Agricultural and Resource Economics Society, vol. 64(3), pages 724-749, July.
    3. Anderson, Kym, 2020. "Consumer Taxes on Alcohol: An International Comparison over Time," Journal of Wine Economics, Cambridge University Press, vol. 15(1), pages 42-70, February.
    4. Giulia Meloni & Kym Anderson & Koen Deconinck & Johan Swinnen, 2019. "Wine Regulations," Wine Economics Research Centre Working Papers 2019-01, University of Adelaide, Wine Economics Research Centre.
    5. Áron Török & Ákos Szerletics & Lili Jantyik, 2020. "Factors Influencing Competitiveness in the Global Beer Trade," Sustainability, MDPI, Open Access Journal, vol. 12(15), pages 1-15, July.
    6. Clements, Ken & Lan, Yihui & Liu, Haiyan, 2020. "Understanding Alcohol Consumption across Countries," 2020 Conference (64th), February 12-14, 2020, Perth, Western Australia 305249, Australian Agricultural and Resource Economics Society.

    More about this item

    Keywords

    globalization of preferences; convergence of national beverage consumption mix; alcohol and health; restrictions on alcohol consumption and production; beverage firm concentration;

    JEL classification:

    • L51 - Industrial Organization - - Regulation and Industrial Policy - - - Economics of Regulation
    • L66 - Industrial Organization - - Industry Studies: Manufacturing - - - Food; Beverages; Cosmetics; Tobacco
    • Q15 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Agriculture - - - Land Ownership and Tenure; Land Reform; Land Use; Irrigation; Agriculture and Environment

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