Beer as a Means of Economic Development: An Economic Impact Analysis of the Michigan Value Chain
May 1, 2019
Steven R. Miller, J. Robert Sirrine, Ashley McFarland, Philip H. Howard and Trey Malone
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.