The Problem With the Three-Tier Alcohol Industry

In 1929, the stock market crashed and all that tax revenue to be generated by legal alcohol sales suddenly looked very attractive. So government people knew they had to do something to take back control of this industry. They came up with a three-tier system: Producer slash importer sells to distributor who sells to retailer. Retailer eventually sells to you. In other states, the government wrestled control of the liquor industry by becoming the liquor industry.