Does easier access to alcohol affect road safety? Evidence from Texas municipalities
This paper studies how expanded local alcohol access affects traffic safety using close local option elections in Texas as a source of quasi-random variation. Legalization between 2003 and 2019 leads to a large increase in liquor licenses, driven almost entirely by off-premise retailers, and shifts alcohol sales from bars and restaurants toward retail outlets. Despite these sizable market changes, the paper finds no meaningful increase in total crashes, DUI crashes, or fatal crashes, and no evidence of spillovers to neighboring cities.