Malleability of Alcohol Consumption: Evidence from Migrants

Marit Hinnosaar and Elaine M. Liu

Journal of Health Economics, 2022, vol. 85, issue C

Abstract: How malleable is alcohol consumption? Specifically, how much is alcohol consumption driven by the current environment versus individual characteristics? To answer this question, we analyze changes in alcohol purchases when consumers move from one state to another in the United States. We find that if a household moves to a state with a higher (lower) average alcohol purchases than the origin state, the household is likely to increase (decrease) its alcohol purchases right after the move. The current environment explains about two-thirds of the differences in alcohol purchases. The adjustment takes place both on the extensive and intensive margins.

Keywords: alcohol; geographic variation; migration; taxes; regulation (search for similar items in EconPapers)
JEL-codes: D12 I12 I18 L66 (search for similar items in EconPapers)
Date: 2022
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Citations: View citations in EconPapers (1)

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Working Paper: Malleability of Alcohol Consumption: Evidence from Migrants (2022)
Working Paper: Malleability of Alcohol Consumption: Evidence from Migrants (2022)
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Persistent link: https://EconPapers.repec.org/RePEc:eee:jhecon:v:85:y:2022:i:c:s0167629622000674

DOI: 10.1016/j.jhealeco.2022.102648

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