Statement on the recent report on beverage alcohol taxes funded by the Robert Wood Johnson Foundation in the Journal of Addiction attributable to Dr. Ray Scalettar, former Chairman of the American Medical Association and an advisor to the Distilled Spirits Council:

What this study reports is the obvious-like any ordinary commodity-higher prices reduce overall purchases. However, what is not pointed out, despite the rhetoric in the press release, is that higher prices would have little to no impact on alcohol abuse.

In fact, moderate, responsible consumers are most sensitive to prices and are the ones that cut back the most when prices rise. On the other hand, repeated studies have shown that the small percentage of chronic alcohol abusers are affected little by price.

Furthermore, according to the Federal Dietary Guidelines, moderate alcohol consumers - the vast majority of adult drinkers - have the lowest death rate of anyone in the population including non-drinkers. Scientific literature shows that the moderate, responsible consumption of alcohol-distilled spirits, beer or wine-is associated with the reduction of cardiovascular and other disease risks. To the extent tax increases unduly affect moderate drinking patterns of responsible adults, these important health benefits would be lost.

Advocates of higher tax increases also fail to account for the enormous economic impact this measure would have. It would hurt the vast majority of responsible, moderate consumers, as well as thousands of entry level employees and small businesses in the hospitality industry in every town and city in America, without any real impact on harmful, abusive consumption.