The Demand for Alcohol: A Meta-Analysis of Elasticities

15 Pages Posted: 11 May 2007

See all articles by Craig A. Gallet

Craig A. Gallet

California State University, Sacramento - Department of Economics

Abstract

Numerous studies have estimated elasticities of alcohol demand using different procedures. Because of widespread differences in demand estimates, however, it is difficult to synthesise the literature into coherent meaning. This study improves our understanding of alcohol demand by reporting results from a meta-analysis of 132 studies. Specifically, regressing estimated price, income and advertising elasticities of alcohol on variables accounting for study characteristics, we find alcohol elasticities to be particularly sensitive to demand specification, data issues and various estimation methods. Furthermore, compared to other alcoholic beverages, beer elasticities tend to be more inelastic.

Suggested Citation

Gallet, Craig A., The Demand for Alcohol: A Meta-Analysis of Elasticities. Australian Journal of Agricultural and Resource Economics, Vol. 51, No. 2, pp. 121-135, June 2007. Available at SSRN: https://ssrn.com/abstract=985689 or http://dx.doi.org/10.1111/j.1467-8489.2007.00365.x

Craig A. Gallet (Contact Author)

California State University, Sacramento - Department of Economics ( email )

6000 J Street
Sacramento, CA 95819-6082
United States

Register to save articles to
your library

Register

Paper statistics

Downloads
32
Abstract Views
1,730
PlumX Metrics