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Wet Laws, Drinking Establishments, and Violent Crime

Author

Listed:
  • Anderson, D. Mark

    (Montana State University)

  • Crost, Benjamin

    (University of Illinois at Urbana-Champaign)

  • Rees, Daniel I.

    (Universidad Carlos III de Madrid)

Abstract

Drawing on county-level data from Kansas for the period 1977-2011, we examine whether plausibly exogenous increases in the number of establishments licensed to sell alcohol by the drink are related to violent crime. During this period, 86 out of 105 counties in Kansas voted to legalize the sale of alcohol to the general public for on-premises consumption. We provide evidence that these counties experienced substantial increases in the total number of establishments with on-premises liquor licenses (e.g., bars and restaurants). Using legalization as an instrument, we show that a 10 percent increase in drinking establishments is associated with a 4 percent increase in violent crime. Reduced-form estimates suggest that legalizing the sale of alcohol to the general public for on-premises consumption is associated with an 11 percent increase in violent crime.

Suggested Citation

  • Anderson, D. Mark & Crost, Benjamin & Rees, Daniel I., 2014. "Wet Laws, Drinking Establishments, and Violent Crime," IZA Discussion Papers 8718, Institute of Labor Economics (IZA).
    • Handle: RePEc:iza:izadps:dp8718
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    2. Francesconi, Marco & James, Jonathan, 2021. "None for the Road? Stricter Drink Driving Laws and Road Accidents," Journal of Health Economics, Elsevier, vol. 79(C).
    3. Fone, Zachary S. & Friedson, Andrew I. & Lipton, Brandy & Sabia, Joseph J., 2020. "The Dependent Coverage Mandate Took a Bite Out of Crime," IZA Discussion Papers 12968, Institute of Labor Economics (IZA).
    4. Avdic, Daniel & von Hinke, Stephanie, 2021. "Extending alcohol retailers’ opening hours: Evidence from Sweden," European Economic Review, Elsevier, vol. 138(C).
    5. Hansen, Benjamin & Waddell, Glen R., 2018. "Legal access to alcohol and criminality," Journal of Health Economics, Elsevier, vol. 57(C), pages 277-289.
    6. Sim, Yongbo, 2023. "The effect of opioids on crime: Evidence from the introduction of OxyContin," International Review of Law and Economics, Elsevier, vol. 74(C).
    7. Jason M. Lindo & Peter Siminski & Isaac D. Swensen, 2018. "College Party Culture and Sexual Assault," American Economic Journal: Applied Economics, American Economic Association, vol. 10(1), pages 236-265, January.
    8. Marco Francesconi & Jonathan James, 2022. "Alcohol Price Floors and Externalities: The Case of Fatal Road Crashes," Journal of Policy Analysis and Management, John Wiley & Sons, Ltd., vol. 41(4), pages 1118-1156, September.
    9. Andrés Ham & Darío Maldonado & Michael Weintraub & Andrés Felipe Camacho & Daniela Gualtero, 2022. "Reducing Alcohol‐Related Violence with Bartenders: A Behavioral Field Experiment," Journal of Policy Analysis and Management, John Wiley & Sons, Ltd., vol. 41(3), pages 731-761, June.
    10. Baumann, Florian & Buchwald, Achim & Friehe, Tim & Hottenrott, Hanna & Mechtel, Mario, 2019. "The effect of a ban on late-night off-premise alcohol sales on violent crime: Evidence from Germany," International Review of Law and Economics, Elsevier, vol. 60(C).
    11. Saloni Khurana & Kanika Mahajan, 2022. "Public Safety for Women: Is Regulation of Social Drinking Spaces Effective?," Journal of Development Studies, Taylor & Francis Journals, vol. 58(1), pages 164-182, January.
    12. Zachary S. Fone, 2023. "You Booze, You Lose? Spillovers to Crime from Alcohol Sales at College Football Games," Journal of Sports Economics, , vol. 24(2), pages 193-240, February.
    13. Andrés Ham & Darío Maldonado & Michael Weintraub & Andrés Felipe Camacho & Daniela Gualtero, 2019. "Reducing Alcohol-Related Violence: A Field Experiment with Bartenders," Documentos de trabajo 17834, Escuela de Gobierno - Universidad de los Andes.

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    More about this item

    Keywords

    liquor licenses; alcohol; crime;
    All these keywords.

    JEL classification:

    • H75 - Public Economics - - State and Local Government; Intergovernmental Relations - - - State and Local Government: Health, Education, and Welfare
    • K42 - Law and Economics - - Legal Procedure, the Legal System, and Illegal Behavior - - - Illegal Behavior and the Enforcement of Law

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