10/20/2008

Ban on free drinks for women :(

a) How does binge drinking represent a market failure?

First of all, alcohol drink are demerit goods which have a negative impact on people's health. also we can call drinking a negative externality in consumption, because when people are drunk they do a lot of stupid things and also can vormit somewhere in a public place or commit an act of vandalism. As we know, both demerit good and negative externality are types of market failure.

b) What are the new proposals?

- put a ban on free drinks for women.

- pubs' staff should be trained according to new regulations

- special sensible alcohol message on each table where alcohol is sold

c) To what extent do you believe any one, or the combined proposals, are likely to be successful?

I can't see the point in putting a ban of free drinks for women.. yes, maybe demand for drinks will decrease a little bit, but I think that demand for drinks is inelastic, so the change in demand won't be so big. also lots of women are more addictive to alcohol than men, so if free drinks are banned, they will still buy alcohol.

Training staff is a good idea - they will be able to help drunk people or just not sell drink to people, who are already too drunk, using special phycological skills. traind staff will also be able to solve some problems in public places like fighting etc.

I don't think that messages on the table will help - people will just ignore them like the messages on packs of cigarettes.

No comments: