The Alcohol monopoly in Sweden and the potential hazards of privatization

• Název v anglickém jazyce: The Alcohol monopoly in Sweden and the potential hazards of privatization
• Klíčová slova anglicky: The Alcohol monopoly in Sweden and the potential hazards of privatization
• Akademický rok vypsání: 2012/2013
• Typ práce: bakalářská práce
• Jazyk práce: angličtina
• Ústav: Institut ekonomických studií (23-IES)
• Vedoucí / školitel: Mgr. Magdalena Patáková
• Řešitel: skrytý - zadáno vedoucím/školitelem
• Datum přihlášení: 19.06.2013
• Datum zadání: 19.06.2013
• Datum a čas obhajoby: 09.09.2014 08:00
• Místo konání obhajoby: IES
• Datum odevzdání elektronické podoby: 24.07.2014
• Datum proběhlé obhajoby: 09.09.2014
• Oponenti: prof. RNDr. Jiří Hlaváček, CSc.

Předběžná náplň práce v anglickém jazyce

The alcohol monopoly in Sweden is a government monopoly that controls manufacturing and consumption of all alcoholic beverages. It is mainly enforced in all Nordic countries, except Denmark. The main goal for such restrictive policies is to decrease the extensive use of alcohol among consumers. This paper examines whether it was successfully implemented or not from the political and economic point of view. Furthermore this study investigates the potential effects of replacing Systembolaget’s monopoly on retail. It is of particular importance to note that this paper will examine the harmful effects of eliminating the alcohol retail monopoly would be especially deprimental to vulnerable groups, young consumers and heavy consumers. Currently there are no debates in the Swedish parlimanent and within different parties concerning the privatization of the alcohol retail monopoly.

Hypothesis:
1. The interest of the paper is to study the effects of such a change could have on public health and safety and its welfare effects regarding de- monopolization of the alcohol sector.
2. Furthermore Czech Republic will be emphasized in this research to deepen the analysis of whether privatization in Sweden will have substantially opposite effect, since Czech Republic’s alcohol market is solely based on the free market mechanism of demand and supply.
3. In order to study alcohol monopoly; the paper examines the characteristics of monopolistic competition and monopoly. By its very definition monopoly eliminates competition. Therefore in a monopoly setting, demand at the retail level does not stimulate availability. On the other hand in the nature of free market the number of sales outlets increases when demand increases.
4. In such case the comparison between the nature of monopoly and perfect competition will be studiedand further enhance the analysis regarding comparison between privatization and monopoly.
5. Finally, the paper will study whether Sweden goes in accordance with the EU, since Sweden faces certain pressures from such institutions to ease restrictions.

Methodology:
The research will formulate a hypothesis that trade liberalization leads to an increase in alcohol consumption. Through analysis of data and models, conclusive statements will provide a clear explanation of maintaining the monopoly status rather then de-monopolization.

Outline:
1. Introduction
2. Comparison of the alcohol policy between Czech Republic and Sweden
3. Different models, systems and characteristics of monopolistic competition and monopoly and free trade and perfect competition
4. Sweden, Scandinavia and EU
5. Conclusion

Core Bibliography:
Sources
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