Using the basic economic principle of making decisions using a cost-benefit framework-and how changes in one or the other can result in a different decision-this book uncovers how various groups responded to incentives provided by the Prohibition legislation. Using this calculus, it is clear that even criminals are rational characters, responding to incentives and opportunities provided by the 18th Amendment and the Volstead Act. The book begins with a broad look at the adaptations of the law's targets: the wine, beer, and liquor industries. It then turns to specific people (Violators, Line Tip-Toers, Enablers, and Hypocrites), sharing their stories of economic adaptation to bring economic lessons to life. Due to its structure, the book can be read in parts or as a whole and is suitable for short classroom reading assignments or individual pleasure reading.
Alice Louise Kassens is the John S. Shannon Professor of Economics at Roanoke College, USA. She is a Senior Analyst with the Institute for Policy and Opinion Research, a Past-President of the Virginia Association of Economists, and a member of the Governor of Virginia's Joint Advisory Board of Economists. She produces the quarterly reports on consumer sentiment, inflation expectations, and real estate indexes for Virginia and is the founder and director of the Center for Economic Freedom.
1. Introduction2. Targets3. Violators4. Line Tip-Toers5. Enablers & Hypocrites6. Conclusion