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<p>In this paper, I capture the heterogeneous impact of a comprehensive statewide alcohol prohibition in Bihar. Despite draconian penal provisions and strict enforcement, I find only a six percent decline in alcohol drinkers driven by sharper declines among the socially backward communities (SC/ST). I show evidence that the prohibition has acted as a deterrent for less frequent drinkers and had no impact on daily drinkers. I detect sharper declines in soft alcohol drinkers compared to hard alcohol drinkers. I find evidence for bootlegging as Bihar’s interior districts have experienced a sharper fall in alcohol drinkers compared to border districts. Finally, I show proof of underreporting in self-reported alcohol consumption.</p>

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Compliance and effectiveness of alcohol prohibition: evidence from India

  • 期刊论文

  • 发表日期：

    2025年9月23日

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  • Ghanshyam Sharma

摘要

In this paper, I capture the heterogeneous impact of a comprehensive statewide alcohol prohibition in Bihar. Despite draconian penal provisions and strict enforcement, I find only a six percent decline in alcohol drinkers driven by sharper declines among the socially backward communities (SC/ST). I show evidence that the prohibition has acted as a deterrent for less frequent drinkers and had no impact on daily drinkers. I detect sharper declines in soft alcohol drinkers compared to hard alcohol drinkers. I find evidence for bootlegging as Bihar’s interior districts have experienced a sharper fall in alcohol drinkers compared to border districts. Finally, I show proof of underreporting in self-reported alcohol consumption.