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14-UnitedStates.pdf

4/24/2018

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Topics

• Overview of Alcohol in the United States

• Alcoholic Beverages

Alcohol in the United States • Early European Settlers

• Whiskey Rebellion of 1794

• Income Tax in 1913

• The 18th Amendment (Prohibition)

– Banned the sale, production, and transportation of alcohol

• 21st Amendment (Repeal of Prohibition)

• $210 Billion Annually

Pilgrims and the Mayflower

• English Separatists sailed from Plymouth, England to the New World in 1620

• Approximately 135 passengers

• Food and Drink Biscuit, beer, salt, (dried) beef, salt pork, oats, peas, wheat, butter, sweet oil, mustard seed, ling or cod fish, "good cheese", vinegar, aqua-vitae, rice, bacon, and cider.

A list of suggested provisions as outlined

by one of the investors of the voyage

Whiskey Rebellion • Tax Protest

• “Whiskey Tax”

• First tax imposed on a domestic product in the United States

• Applied to all distilled spirits

• Western Frontier

• Whiskey - medium of exchange

• currency

Whiskey Rebellion

• Protesters were veterans of the American Revolution • Taxation without local representation

• Western Pennsylvania • Using violence to prevent being taxed

• July 1794 • US Marshal arrived

• Present day Bridgeville, PA

• 500 armed men attacked the home of General John Neville (tax inspector)

• President Washington • Led an army of 13,000 militiamen

• Demonstrated the vitality of the new Government

• Contributed to the formation of political parties in the US.

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More on Alcohol Taxes

• 1802 “whiskey tax” repealed • Thomas Jefferson

• War of 1812 • More alcohol tax

• 1834 “whiskey tax” repealed again

• US Civil War • 1861 more taxes on alcohol (beer and whiskey) • Lasted until 1913

• 1890s • About 40% of the Government’s income came

from alcohol tax

• 1851 • Maine outlawed manufacture and sale of alcohol

• 1873 • Woman’s Christian Temperance Union

• 1881 • Kansas outlawed alcoholic beverages

• 1893 • Anti-Saloon League

• 1913 • 16th Amendment

• Replaced alcohol tax with a federal income tax

• World War I & German-Americans

Leading To Prohibition

• December 1917 • House and Senate approve the

Constitutional Amendment

• January 16, 1919 • Amendment was ratified by 36 of the

48 states

• Making it a law

• October 28, 1919 • Volstead Act

• Legislation that allowed for the enforcement of the 18th Amendment

• January 16, 1920 • National Prohibition begins

• Banned the sale, production, and transportation of alcohol

18th Amendment Prohibition • Controversial among medical professionals

• Many rural farmers who supported prohibition quickly

turned against it

• Section 29 Volstead Act

• Allowed for home production of wine and cider from fruit

• Did not prohibit consumption

• Stockpiles

• Distilleries and breweries in Canada, Mexico, and

Caribbean flourished

Prohibition

• Speakeasy (est. 32,000 in NYC) • Organized crime • Prostitution • Heavy drinking • Gambling

• Organized Crime

• Corruption

• Crime • Murder rate in US climbed 78% • Drunk driving increased by 81%

• Dangerous alcohols

• Job loss

• Tax loss

Prohibition

• Inefficient means of enforcing it • The vast majority of Americans

opposed it

• Geography

• Great Depression in 1929 • Jobs

• Taxes

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Prohibition

“When Prohibition was introduced, I hoped that it would be widely supported by

public opinion and the day would soon come when the evil effects of alcohol would

be recognized. I have slowly and reluctantly come to believe that this has not been

the result. Instead, drinking has generally increased; the speakeasy has replaced the

saloon; a vast army of lawbreakers has appeared; many of our best citizens have

openly ignored Prohibition; respect for the law has been greatly lessened; and crime

has increased to a level never seen before.”

John D. Rockefeller, Jr. in 1932

21st Amendment

• 1932 • Franklin D. Roosevelt elected president

• March 22, 1933 • FDR signed an amendment to the Volstead Act.

• Allowed the manufacture of 3.2% beer

• “I think this would be a good time for a beer”

• December 5, 1933 • 18th amendment repealed

• With ratification of the 21st Amendment

Map showing dry (red), wet (blue), and mixed (yellow)

counties in the United States as of March 2012

- Mixed Drinks (cocktails)

- Bourbon

Alcoholic Beverages alcól

Mixed Drinks

• A vast increase in mixed-drinks (cocktails)

• Shift from whiskey to gin

• Gin doesn’t require aging

• Honey, fruit juices, other flavorings used to mask

the taste of poorly produced alcohol.

• Distilled beverage made primarily of corn

Bourbon

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Bourbon

Rye

Red Winter Wheat

Federal Standards: • Produced in the US

• Made from grain that is at least 51% corn

• Aged in new, charred oak barrels (2 years)

• Entered into barrel no more than 62.5% abv (125 proof)

• Bottled at 40% (80 proof) or more

Bourbon

Bourbon • 1780s

• Unclear on the date

• Fayette County or Bourbon County Kentucky

• Named after Gilbert du Motier, Marquis de Lafayette • French aristocrat from the royal House of Bourbon

• Revolutionary War General

• Bourbon Street, New Orleans – named in 1721 after the ruling family of France

Bourbon

• Blanton’s Story • Elmer T. Lee

Bourbon Craft Beer Industry

1983 A total of 80 breweries. This is the low water mark for breweries in the 20th

century.

1983 The top six breweries (Anheuser-Busch, Miller, Heileman, Stroh, Coors, and

Pabst) control 92% of U. S. beer production.

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Craft Beer Industry Cheers !

Rye Whiskey - David "Stringbean" Akeman