Closing Time: The Local Equilibrium Effects of Prohibition
@article{Howard2021ClosingTT, title={Closing Time: The Local Equilibrium Effects of Prohibition}, author={Greg Howard and A. Ornaghi}, journal={The Journal of Economic History}, year={2021}, volume={81}, pages={792 - 830} }
How do different local policies in a federal system affect local land values, production, and sorting? We study the question exploiting a large historical policy change: U.S. Alcohol Prohibition in the early twentieth century. Comparing same- state early and late adopters of county dry laws in a difference-in-differences design, we find that early Prohibition adoption increased population and farm real estate values. Moreover, we find strong effects on farm productivity consistent with…
One Citation
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