Alcohol Advertising and Advertising Bans: A Survey of Research Methods, Results, and Policy Implications

Abstract

This chapter surveys the literatures on advertising bans and alcohol consumption or abuse, and advertising expenditures and alcohol consumption. Studies of state-level bans of billboards are examined as well as studies of international bans that cover broadcasting media. For expenditures, the survey concentrates on econometric methods and the existence of an industry advertising-sales response function. Selected results from survey-research studies of advertising and youth alcohol behaviors also are discussed. The chapter concludes that advertising bans do not reduce alcohol consumption or abuse; advertising expenditures do not have a marketwide expansion effect; and survey-research studies of youth behaviors are seriously incomplete as a basis for public policy. Results of the survey are applied to the Supreme Court's Central Hudson test for constitutionality of restrictions on commercial speech.

Keywords: Advertising, Alcohol, Advertising Bans, Regulation, First Amendment

JEL Classification: K2, L8, M3