Why do states have any ownership in liquor sales?
There are several states that have ownership of liquor sales. There comes a point where people need to understand that government owning parts of an capitalistic endeavor is a bad idea, especially when it comes to intoxicants. While it does bring in revenue for the states, it also brings about ethical quandaries no person should lack an understanding of. One of the ways this is really bad is that the changing of politics can lead to the state doing things to force people to make decisions based on the choices of a bureaucrat or political agenda. This keeps being proven to be a bad idea, yet the government and people keep pulling the same failure over and over.
States Controlling Liquor Sales
Here is a look at the states that control liquor sales in some manner.
Alabama: Directly controls the sale of alcohol through ABC-licensed liquor stores.
Idaho: Controls the sale of alcohol through ABC-licensed liquor stores.
Iowa: Controls the wholesale and retail sale of liquor.
Maine: Has the authority to determine which brands of spirits are available for sale, but not the retail sale.
Michigan: Controls the wholesale distribution of liquor through state-owned entities.
Mississippi: Exerts direct control over the sale and distribution of alcohol.
Montana: Controls the sale of alcohol through ABC-licensed liquor stores.
New Hampshire: Operates state-run liquor stores that handle the wholesale and retail sale of spirits.
North Carolina: County/municipal boards operate the retail stores that sell liquor.
Ohio: Controls the wholesale and retail sale of spirits.
Oregon: Controls the sale of alcohol through ABC-licensed liquor stores.
Pennsylvania: Sells spirits through state-owned Fine Wine & Good Spirits stores.
Utah: Controls the sale of liquor through state-owned stores.
Vermont: Controls the wholesale of liquor, which is sold through agency stores.
Virginia: Directly controls the sale of alcohol through ABC-licensed liquor stores.
West Virginia: Controls the sale of alcohol through ABC-licensed liquor stores.
Wyoming: Controls the sale of alcohol through ABC-licensed liquor stores.
The current state having issues is Utah, as the Utah Department of Alcoholic Beverage Services is rewriting contracts that is causing stores in rural areas to close because they had allowed some private ownership. For them to be open, they had to have contracts with the state, which are now too prohibitive.
https://www.sltrib.com/news/2025/07/09/change-state-contract-leave-liquor/
In Pennsylvania, the state attempts to privatize on occasion, but the unionized employees of the stores fight against it every time it comes up. The unions would lose money, as these folks would no longer be state employees. In this case, the unions involved are the Fine Wine and Good Spirits employees protected by the United Food and Commercial Workers union.
There comes a point where people need to want the state out of any area that can be ran better by the principles of Adam Smith.
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