by Jon Sanders
Research Editor and Senior Fellow, Regulatory Studies, John Locke Foundation
Roy Cordato’s research brief makes that charge and explains why. In North Carolina’s ABC system,
Not only is every aspect of the wholesale and retail distribution of distilled spirits heavily regulated by the government, but it is owned by either the state or local government in true socialist form.
Once the ABC system purchases its product from the distillers, every aspect of the process is owned by the state or local government. The government decides what products will be available to North Carolina consumers and in what quantities. It owns or leases the warehouse facilities where the product is stored. It controls the distribution trucks that carry the product to the retail stores, and it owns all of the retail outlets (ABC stores) in the state.
In taking direct ownership or control of all of these steps, it has also given itself complete monopoly power. Not only is competition from private retail stores illegal, but alternative wholesalers of any kind are prohibited.
Pretty much the only thing the government isn’t doing here regarding liquor is producing rations of Victory Gin.