Survey Evidence on Black Market Liquor in Colombia

Gustavo Canavire-Bacarreza, Alexander L. Lundberg and Alejandra Montoya-Agudelo

A chapter in The Econometrics of Complex Survey Data, 2019, vol. 39, pp 287-314 from Emerald Group Publishing Limited

Abstract: In 2014, the Colombian Government commissioned a unique national survey on illegal liquor. Interviewers purchased bottles of liquor from interviewees and tested them for authenticity in a laboratory. Two factors predict whether liquor is contraband (smuggled): (1) the absence of a receipt and (2) the presence of a discount offered by the seller. Neither factor predicts whether a bottle is adulterated. The results back a story in which sellers are complicit with a contraband economy, but whether buyers are complicit remains unclear. However, buyers are more likely to receive adulterated liquor when specifically asking for a discount.

Keywords: Black market; Colombia; counterfeit goods; alcohol; contraband; C81; C83; L66; K00; K40 (search for similar items in EconPapers)
Date: 2019
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DOI: 10.1108/S0731-905320190000039016

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