Privatizing alcohol sales and alcohol consumption: evidence and implications

Aim. To provide an overview of recent privatization/deregulation experience s in North America and other settings, in order to draw conclusions about t he impacts that might be expected from such changes on rates of alcohol con sumption and related problems. Methods. Critical review of research evidenc e on the effect of changes in availability, particularly changes in physica l availability and economic availability that typically accompany privatiza tion of alcohol retail monopolies. Findings. Deregulation/privatization exp eriences commonly involve higher density of outlets, longer hours or more d ays of sale, changes in price, a strong orientation to commercial aspects o f alcohol sales and the introduction of new vested economic interests into alcohol management arrangements in the jurisdiction. In many instances thes e changes in access to alcohol are accompanied by an increase in the per ca pita rates of consumption. In the short term changes in prices are likely t o either increase or demonstrate opposite patterns for beverages with diffe rent base prices. Longer-term patterns point to a decline in real price wit h privatization, which very probably stimulates per capita alcohol sales. C onclusion. The existing evaluation literature on the subject of privatizati on has tended to focus on examining the net short-term results in terms of alcohol consumption levels. Overall, there are too few studies employing ad equate statistical methodologies to explore the underlying causes of changi ng alcohol consumption and alcohol-related harm. Finally, seven specific su ggestions that may assist future studies are discussed.