The effects of price on alcohol consumption and alcohol-related problems

Alcohol Res Health. 2002;26(1):22-34.


The most fundamental law of economics links the price of a product to the demand for that product. Accordingly, increases in the monetary price of alcohol (i.e., through tax increases) would be expected to lower alcohol consumption and its adverse consequences. Studies investigating such a relationship found that alcohol prices were one factor influencing alcohol consumption among youth and young adults. Other studies determined that increases in the total price of alcohol can reduce drinking and driving and its consequences among all age groups; lower the frequency of diseases, injuries, and deaths related to alcohol use and abuse; and reduce alcohol-related violence and other crime.

Publication types

  • Research Support, U.S. Gov't, P.H.S.
  • Review

MeSH terms

  • Accidents, Traffic / statistics & numerical data
  • Adolescent
  • Adult
  • Alcohol Drinking / adverse effects
  • Alcohol Drinking / economics*
  • Alcohol Drinking / legislation & jurisprudence
  • Alcohol Drinking / psychology
  • Beer / supply & distribution
  • Behavior, Addictive
  • Costs and Cost Analysis
  • Humans
  • Liver Cirrhosis / etiology
  • Models, Theoretical
  • Public Policy
  • Taxes
  • United States
  • Violence / prevention & control