The (Short-Term) Individual Welfare Consequences of an Alcohol Ban

René Petilliot

No 979, SOEPpapers on Multidisciplinary Panel Data Research from DIW Berlin, The German Socio-Economic Panel (SOEP)

Abstract: This paper provides the first empirical analysis of the (short-term) welfare consequences of an alcohol ban. Using subjective well-being data to proxy individual welfare, I apply a regression discontinuity design where the date of the implementation of the ban in the German federal state of Baden-Wuerttemberg functions as discontinuity. I find that the ban reduces life satisfaction of the total population and the subpopulation of drinkers, while life satisfaction of nondrinkers is unaffected. My findings are well in line with the rational addiction model perspective.

Keywords: Alcohol ban; Well-being; Life satisfaction; Welfare; Addiction; Regression discontinuity design (search for similar items in EconPapers)
JEL-codes: D04 D60 H30 I31 (search for similar items in EconPapers)
Pages: 30 p.
Date: 2018
New Economics Papers: this item is included in nep-hap and nep-hea
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Citations: View citations in EconPapers (1)

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Persistent link: https://EconPapers.repec.org/RePEc:diw:diwsop:diw_sp979

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