May 17, 2010

The Economics of Wine in Grocery Stores


Mercatus scholars host a series of interviews with with policy scholars, elected officials and other practitioners about state and local legislative and regulatory reforms.

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There are several states that do not allow grocery stores to sell wine in grocery stores. However, in the midst of dealing with budget woes and shrinking revenues many states are considering changing existing laws to now allow the sell of wine in grocery stores as a means to increase revenue for the state. On this podcast, we provide an overview of current existing policy in several states, the affect on consumers in maintaining laws that prohibit the sale of wine in grocery stores, and what role the sale of wine in grocery stores plays on states’ economies.

Joining us this week is Dr. Jerry Ellig, a senior research fellow at the Mercatus Center at George Mason University. Jerry is back on the podcast to talk about new developments in regulation of wine, specifically the sale of wine in grocery stores. Between 2001 and 2003, he served as deputy director of the Federal Trade Commission’s Office of Policy Planning and coauthored the FTC staff study on direct wine shipment.