You are hereMarin Institute, May 2010 Fact Sheet :
Marin Institute, May 2010 Fact Sheet :
Any immediate economic benefits realized from privatization will be offset by increased consumption, reduced state revenues over time, and increased costs due to more harm.
On average, control states take in at least $10.00 more per gallon of alcohol sold compared to license states. States that control only sales of spirits receive nearly $38 more per gallon than license states.
The one-time windfall realized from the sale of the state stores will not offset the long term loss of revenue.
It is rare for states to raise excise tax rates on alcoholic beverages because the alcohol industry powerfully lobbies against any such increases.
Because the prices on state-controlled alcohol sales can be increased, and tax rates on privatized sales are rarely adjusted, the prices of alcoholic beverages will fall and effectively function as a subsidy for the alcohol industry.
State oversees products directly, therefore being able to react quickly to deceptive and dangerous products.
Can also regulate the on-site marketing of alcoholic beverages.