The Impact of State Brewpub Legalization on Fatal Vehicle Crashes
Abstract
Fatal vehicle accidents impose large direct and indirect costs on the economy, underscoring the need for research on factors that affect these crashes. Drunk driving represents one key factor affecting fatal vehicle crashes. We exploit exogenous variation in the availability of alcohol in states, the legalization of brewpubs, to develop causal evidence on the impact of alcohol availability on fatal vehicle crashes. Results from event study models using a state-year panel over the period 1975-1998 show that the legalization of brewpubs in a state had no impact on fatal vehicle accidents. This likely reflects existing consumers of alcohol changing the location where they consumed alcohol from other bars an restaurants to brewpubs.
Purpose
The objective of this paper was to review the impact of brewpub legalizations on fatal car crashes to determine whether access to food and a different brewery culture resulted in less intoxicating driving. Positive findings could have impacted policy decisions by decision-makers when considering requirements for breweries and how brewery owners operate their taprooms. Negative findings could have indicated to brewery owners and operators that access to food was not a major factor in patrons’ decision-making. However, the results of the study were that there was no impact on fatal vehicle accidents that involved alcohol.
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