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Craft Beer as a Means of Economic Development: An Economic Impact Analysis of the Michigan Value Chain

1
Department of Agricultural, Food and Resource Economics, Michigan State University, East Lansing, MI 48824, USA
2
Community, Food & Environment Institute, Michigan State University Extension, East Lansing, MI 48824, USA
3
Business and Industry Liaison, Minnesota Sea Grant, Duluth, MN 55812, USA
4
Department of Community Sustainability, Michigan State University, East Lansing, MI 48824, USA
*
Author to whom correspondence should be addressed.
Beverages 2019, 5(2), 35; https://doi.org/10.3390/beverages5020035
Received: 26 February 2019 / Revised: 17 March 2019 / Accepted: 15 April 2019 / Published: 2 May 2019
(This article belongs to the Special Issue Brewing and Craft Beer)
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PDF [473 KB, uploaded 2 May 2019]
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Abstract

While many studies have suggested the beer value chain might be a vehicle for economic growth, few have estimated the economic impacts of craft beer to a geographic region. As such, this study uses modified input/output analysis to identify the economic contributions of instate beer production to the Michigan economy. We find that the beer value chain generated nearly $500 million in Gross State Product in 2016, contributing nearly $1 billion as well as 9738 jobs in total aggregate economic contributions. The results suggest that state governments might generate economic growth by creating a business climate that is conducive to the growth of the instate beer value chain. View Full-Text
Keywords: craft beer; local value chain; economic contribution analysis craft beer; local value chain; economic contribution analysis
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This is an open access article distributed under the Creative Commons Attribution License which permits unrestricted use, distribution, and reproduction in any medium, provided the original work is properly cited (CC BY 4.0).
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Miller, S.R.; Sirrine, J.R.; McFarland, A.; Howard, P.H.; Malone, T. Craft Beer as a Means of Economic Development: An Economic Impact Analysis of the Michigan Value Chain. Beverages 2019, 5, 35.

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