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Business Daily

The economics of banning alcohol

Business Daily

BBC

Business

4.4816 Ratings

🗓️ 9 September 2020

⏱️ 17 minutes

🧾️ Download transcript

Summary

After several countries banned alcohol as part of their lockdown measures, we ask if prohibition ever works?

Ed Butler reports from South Africa, where a recent ban on alcohol was welcomed by some healthcare professionals and those fighting violence in the country. Harvard economist Jeffrey Miron and University of California criminologist Emily Owens discuss whether limits on alcohol are ever really effective.

(Photo: A man takes beers from a fridge inside a liquor shop in Soweto, Johannesburg, on June 1, 2020; Credit: Getty Images)

Transcript

Click on a timestamp to play from that location

0:00.0

Hello there, I'm Ed Butler. Welcome to Business Daily from the BBC. Today, why some South Africans

0:06.8

have been celebrating a nationwide ban this year on alcohol. A lot of the women are telling us that

0:14.1

their communities have never felt better. They've never felt safer. They've never looked cleaner.

0:22.4

So there's a lot of people who are actually happy with the absence of alcohol from our homes. But others, meanwhile,

0:27.6

are warning against the hazards of outright prohibition. They mainly drive the market underground.

0:33.9

They tend to be violent. They tend to have poor quality control, so one gets more accidental poisoning as overdoses.

0:40.3

You forego the opportunity to collect tax revenue, and they're bad for minority communities in particular.

0:46.6

To ban or not to ban, the alcohol question on Business Daily from the BBC.

1:01.7

Including the Western Cape where it was highest, the Eastern Cape where it kept rising and how it was alarmingly going out.

1:04.3

The voice of Cyril Ramaphosa, South Africa's president addressing the nation back on August

1:09.2

the 15th.

1:10.3

After four months of a strict ban prohibiting the sale and transportation of liquor across the

1:15.9

country, a bar full of eager drinkers in Soweto is now watching with bated breath to see what

1:22.0

he says.

1:23.1

I'm just hoping that you will say that it's going to release the alcohol.

1:28.3

It's just going to reopen it so that we can live our lives as it was before.

1:34.8

The suspension of the sale of alcohol will be lifted subject to certain restrictions.

1:43.1

Alcohol will be committed to all-side.

1:50.2

In this establishment, at least the news of the end of the alcohol ban

1:54.9

is met with unvarnished joy.

1:58.4

I don't know what to say, I'm just overwhelmed.

2:01.2

I love you, Ramobos.

...

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