Why Michigan beer and wine prices are higher than they should be

By Tom Gantert | Michigan Capitol Confidential

Your beer and wine costs more than it should because Michigan has anti-competitive rules that benefit wholesalers instead of consumers.

That’s because of “post and hold” rules that mandate that alcohol wholesalers and manufacturers post price changes for beer and wine and then leave them in place for a specific amount of time, said Michael LaFaive, director or the Morey Fiscal Policy Initiative at the Mackinac Center for Public Policy.

Locking in prices allows companies to coordinate pricing with their so-called competition, he said.

at Michigan Capitol Confidential.

Rob Port is the editor of SayAnythingBlog.com, a columnist for the Forum News Service, and host of the Plain Talk Podcast which you can subscribe to by clicking here.

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