Abstract

We investigate the impact of state level COVID-19 related policies on alcohol sales in US. We use monthly Alcohol Policy Information System (APIS) alcohol sales data during COVID-19 for 13 states from January 2020 to August 2021. Event study and difference-in-differences methods are used to investigate the effects of COVID-19 related policies on alcohol sales. Bans on mass gatherings led to an increase in alcohol sales per capita (ranging from 6.9% (p=0.063) to 11.1% (p=0.095)). School closures reduced alcohol sales per capita by 6.8% (p=0.149). Allowing bars to sell alcoholic beverage for takeout or curbside pickup increased alcohol sales per capita by 6.7% (p=0.018), while same policy for restaurants reduced alcohol sales per capita by 5.2% (p=0.038). We document that while not all policies exerted an effect, some did demonstrate a significant impact on alcohol sales during the COVID-19 pandemic in US.

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