Prohibition Called Off On Account of Money
December 5th, 2007 at 9:44 pm
December 5th, 2007 at 9:44 pm
Don Boudreaux on Cafe Hayek celebrates the 74th anniversary of the repeal of Prohibition by making available an article (PDF) he and Michigan law professor Adam Pritchard wrote on the reasons why Prohibition started and ended when it did. Their thesis is quite interesting: Prohibition started when the income tax could replace lost liquor tax revenue, and it ended when government spending exceeded income tax revenue and the government needed its liquor tax revenue back.

