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Geographic Access and Demand in the Market for Alcohol

  • Burkey, Mark L.

    (NC A&T State U)

Policy in many regions restricts geographic access to alcohol by reducing the number of outlets where alcohol is available for purchase. In previous studies, imprecise measures of access and the lack of a theoretical framework have caused improper economic interpretations of how reducing access should affect consumer behavior. This paper makes several improvements in the study of geographic access to alcohol, employing new economic theory, new techniques for measuring access, and spatial econometric techniques. We find that although reducing access does reduce apparent per capita consumption of liquor, economic theory suggests that many alcohol-related problems are unlikely to be affected.

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Article provided by Southern Regional Science Association in its journal Review of Regional Studies.

Volume (Year): 40 (2010)
Issue (Month): 2 ()
Pages: 159-79

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Handle: RePEc:rre:publsh:v:40:y:2010:i:2:p:159-79
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  1. Anselin, Luc & Bera, Anil K. & Florax, Raymond & Yoon, Mann J., 1996. "Simple diagnostic tests for spatial dependence," Regional Science and Urban Economics, Elsevier, vol. 26(1), pages 77-104, February.
  2. Kwabena Gyimah-Brempong, 2001. "Alcohol Availability and Crime: Evidence from Census Tract Data," Southern Economic Journal, Southern Economic Association, vol. 68(1), pages 2-21, July.
  3. Philip J. Cook & George Tauchen, 1982. "The Effect of Liquor Taxes on Heavy Drinking," Bell Journal of Economics, The RAND Corporation, vol. 13(2), pages 379-390, Autumn.
  4. Schmalensee, Richard., 1980. "Monopolistic two-part pricing arrangements," Working papers 1105-80., Massachusetts Institute of Technology (MIT), Sloan School of Management.
  5. J. Barkley Rosser, 2009. "Introduction," Chapters, in: Handbook of Research on Complexity, chapter 1 Edward Elgar.
  6. G�ran Therborn & K.C. Ho, 2009. "Introduction," City, Taylor & Francis Journals, vol. 13(1), pages 53-62, March.
  7. Edward C. Prescott & Michael Visscher, 1977. "Sequential Location among Firms with Foresight," Bell Journal of Economics, The RAND Corporation, vol. 8(2), pages 378-393, Autumn.
  8. Steven C. Salop, 1979. "Monopolistic Competition with Outside Goods," Bell Journal of Economics, The RAND Corporation, vol. 10(1), pages 141-156, Spring.
  9. Peter Davis, 2006. "Spatial competition in retail markets: movie theaters," RAND Journal of Economics, RAND Corporation, vol. 37(4), pages 964-982, December.
  10. Manning, Willard G. & Blumberg, Linda & Moulton, Lawrence H., 1995. "The demand for alcohol: The differential response to price," Journal of Health Economics, Elsevier, vol. 14(2), pages 123-148, June.
  11. J. Elhorst, 2010. "Applied Spatial Econometrics: Raising the Bar," Spatial Economic Analysis, Taylor & Francis Journals, vol. 5(1), pages 9-28.
  12. Sara Markowitz, 2000. "The Price of Alcohol, Wife Abuse, and Husband Abuse," Southern Economic Journal, Southern Economic Association, vol. 67(2), pages 279-303, July.
  13. Frank J. Cesario, 1976. "Value of Time in Recreation Benefit Studies," Land Economics, University of Wisconsin Press, vol. 52(1), pages 32-41.
  14. repec:rje:randje:v:37:y:2006:i:4:p:964-982 is not listed on IDEAS
  15. Mark Burkey, 2012. "Decomposing geographic accessibility into component parts: methods and an application to hospitals," The Annals of Regional Science, Springer, vol. 48(3), pages 783-800, June.
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