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Home
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Working Papers
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Introducing wine into grocery stores: Economic implications and transitional issues

Working Paper No. 48

Published: 2009
Category:
Economics

Introducing wine into grocery stores: Economic implications and transitional issues

Bradley J. Rickard
Full Text PDF
Abstract
There has been a long history of government regulation related to wine marketing activities in the United States, and many regulations have been state-specific. For example, fifteen states currently have laws that restrict wine sales in grocery stores. Several of these states have recently proposed changes that would expand the distribution of wine; however, the economic implications of such changes are not well understood and the proposals have met significant resistance from key stakeholders. A simulation model is developed here to assess the likely effects of introducing wine into grocery stores in New York State. Results suggest that benefits would be generated for out-of- state wineries, government revenues, and in most cases the in-state wineries; wine sales at liquor stores would fall by 17% to 32% with this policy change. Simulation results are subsequently used to develop a framework for evaluating various proposals that would provide compensation to liquor store owners.

Submission

Please send your papers as PDF files to the editor, Victor Ginsburgh, at vginsbur@ulb.ac.be
Papers will be quickly reviewed, prior to potential posting on the website. Decision will be to post or not, possibly with short comments, but without referee reports. The decision will be based primarily on the suitability of the paper’s topic to the aims of the Association.
Such decisions are independent of publication decisions for the Journal of Wine Economics.

Working Paper publication requires that at least one author
is a regular member of AAWE.

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