Hear ye, Hear ye! Below should be good news for social drinkers.
In a 2006 research paper, Professors Bethany L. Peters and Edward Peter Stringham discusses the economic benefits of social drinking and how alcohol prohibition statutes negates these. [There are so many of aspects in life that goes against popular wisdom, which makes economics so interesting]
Here is the Abstract:
A number of theorists assume that drinking has harmful economic effects, but data show that drinking and earnings are positively correlated. We hypothesize that drinking leads to higher earnings by increasing social capital. If drinkers have larger social networks, their earnings should increase. Examining the General Social Survey, we find that self-reported drinkers earn 10-14 percent more than abstainers, which replicates results from other data sets. We then attempt to differentiate between social and nonsocial drinking by comparing the earnings of those who frequent bars at least once per month and those who do not. We find that males who frequent bars at least once per month earn an additional 7 percent on top of the 10 percent drinkers’ premium. These results suggest that social drinking leads to increased social capital.
Download the Paper here
I love beer, unfortunately I haven’t been to bars in years (only restaurants) and I don’t socialize much too.
Maybe I should…
From HS Dent
…before time catches up
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