Drink, but Please Don't Drive: Spillover Effects of Ride-Sharing on Alcohol Sales and Drunk Driving Arrests.

This article investigates the spillover effects of ride-sharing, specifically Uber, on alcohol sales at restaurants and bars and on drunk driving arrests in Texas. Using a generalized difference-in-differences model, the study finds that Uber availability increases monthly alcohol sales by 10.1% in affected cities, while temporary Uber exits lead to declines in beer and liquor sales. Complementing this, an analysis of daily drunk driving arrests in San Antonio reveals that Uber's presence reduces total DWI arrests by approximately 5%, with larger relative decreases among women, minority populations, and younger individuals. These findings suggest that ride-sharing services can simultaneously boost economic activity in alcohol-serving establishments and enhance public safety by reducing impaired driving, offering important considerations for policymakers and marketers regarding regulation and targeted interventions.