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Wine Consumption and Culture: A Cross‐Country Analysis

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  • Lara Agnoli
  • J. François Outreville

Abstract

The main objective of this article is to investigate how national culture and sociopolitical environment influence the level of wine consumption in a representative panel of countries. Culture is defined as the consumption practices related to economic, social, and cultural aspects and institutional factors. A single equation analysis is based on a cross section of countries representing 90% of wine consumption in the world for the period 2003–2017. In order to draw a final model explaining wine consumption through the cultural peculiarities of a country and to avoid multicollinearity among independent variables, a principal component analysis is performed and a random‐effects GLS regression model is applied to determine the set of cultural variables which are the most significant in affecting wine consumption.

Suggested Citation

  • Lara Agnoli & J. François Outreville, 2021. "Wine Consumption and Culture: A Cross‐Country Analysis," Applied Economic Perspectives and Policy, John Wiley & Sons, vol. 43(3), pages 1101-1124, September.
    • Handle: RePEc:wly:apecpp:v:43:y:2021:i:3:p:1101-1124
    DOI: 10.1002/aepp.13097
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