Employment, unemployment, and problem drinking

Article Abstract:

Individuals who are addicted to alcohol are likely to become unemployed because of a deterioration in their productivity. This finding is true for both males and females. It is also based on the outcome of the habit which include accidents, arrest and confiscation of a driver's license. On the other hand, the theory that unemployment causes problem drinking is not true although it may lead to increased drinking, which is different from alcohol addiction. Nevertheless, there are studies attesting to the beneficial effects on labor productivity of moderate consumption of alcohol.

Research, Labor productivity

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A note on 'Economic conditions and alcohol problems.'

Article Abstract:

C.J. Rhum's 1995 study runs counter to the conventional view that recessions cause heavier drinking. Rhum uses state panel data to conclude that consumption of alcoholic beverages is pro-cyclical, his estimates being based on a particular model specification that is a significant improvement over studies employing only time-series or cross-sectional data. A study demonstrated that Rhum's estimated co-efficients are subject to large variation and sign reversals depending on the sample period.

Mathematical models, Criticism and interpretation, Scholars, Rhum C.J.

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The demand for alcohol: the differential response to price

Article Abstract:

Statistical analyses based on data provided by the National Health Interview Survey have shown that the demand for alcohol is responsive to price. The study, which was carried out using several regression models, also indicates that both light and heavy drinkers are considerably less price elastic than moderate drinkers and are more likely to feel the effects of alcohol taxes designed to curtail heavy or abusive drinking.

Drinking of alcoholic beverages, Drinking (Alcoholic beverages)

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