The Economics of Beer

Beer has been consumed across the globe for centuries and was the drink of choice in many ancient societies. Today it is the most important alcoholic drink worldwide, in terms of volume and value. The largest brewing companies have developed into global multinationals, and the beer market has enjoyed strong growth in emerging economies, but there has been a substantial decline of beer consumption in traditional markets and a shift to new products. There is close interaction between governments and markets in the beer industry. For centuries, taxes on beer or its raw materials have been a major source of tax revenue and governments have regulated the beer industry for reasons related to quality, health, and competition. This book is the first economic analysis of the beer market and brewing industry. The introduction provides an economic history of beer, from monasteries in the early Middle Ages to the recent 'microbrewery movement', whilst other chapters consider whether people drink more beer during recessions, the effect of television on local breweries, and what makes a country a 'beer drinking' nation. It comprises a comprehensive and unique set of economic research and analysis on the economics of beer and brewing and covers economic history and development, supply and demand, trade and investment, geography and scale economies, technology and innovation, health and nutrition, quantity and quality, industrial organization and competition, taxation and regulation, and regional beer market developments. Contributors to this volume - William James Adams, University of Michigan Abhimanyu Arora, University of Leuven Junfei Bai, Chinese Academy of Sciences Anjor Bhaskar, Independent Researcher, India Matt Boswell, Stanford University and the Chinese Academy of Sciences Liesbeth Colen, University of Leuven Koen Deconinck, University of Leuven Kenneth G. Elzinga, University of Virginia Don Freeman, Sam Houston State University Lisa M. George, City University of New York Jikun Huang, Chinese Academy of Sciences Jill J. McCluskey, Washington State University Bart Minten, International Food Policy Research Institute (IFPRI) John Nye, George Mason University Damiaan Persyn, University of Leuven Eline Poelmans, Hogeschool Universiteit Brussel Scott Rozelle, Stanford University Sanatan Shreay, Amgen Corporation Margaret Slade, Universities of British Columbia and Warwick Johan F.M. Swinnen, University of Leuven Anthony Swisher, Akin Gump Strauss Hauer & Feld LLP Carol H. Tremblay, Oregon State University Victor J. Tremblay, Oregon State University Richard Unger, University of British Columbia Kristine Van Herck, University of Leuven Frank van Tongeren, OECD Trade and Agriculture Directorate Thijs Vandemoortele, University of Leuven Anneleen Vandeplas, University of Leuven Stijn Vanormelingen, IESE Business School