Essay Sample about Prohibition: The Negative Effects

📌Category: Economics, History, History of the United States
📌Words: 405
📌Pages: 2
📌Published: 19 March 2022

Before the 1920s, the temperance movement was started by religious organizations and this led to prohibition in America (Gale). Amazingly, something that was meant to help the people of the United States led to a gigantic loss of money. The amount of lost revenue was not the only negative effect of prohibition. The consequences of prohibition during the Progressive era negatively impacted crime, the economy, and tax revenue.

The first consequence was the rise in crime. Factors leading to the rise in organized crime are because there was disrespect for religion and the law. Some examples of crime during this period are smuggling, bootlegging, and the illegal liquor trade, just to name a few (Lerner). A notable person that was associated with the prohibition time period was Al Capone (Britannica).  There is a theory that the government may have caused a rise in the crime rate. This theory included the poisoning of alcohol, which led to many deaths (Blocker). This was important because people's health was in jeopardy.

Secondly, the economy was negatively affected by prohibition. There was an estimated 11 billion dollars lost in tax revenue (Lerner). There was also a decline in restaurant and liquor sales, as well as revenue from the entertainment industry, and that means no profit(Lerner). There was also the closing of breweries, distilleries, and saloons, which resulted in thousands of lost jobs (Lerner). Some indirect consequences of prohibition were that many barrel makers, truckers, waiters, and waitresses became unemployed (Lerner).  This was unfortunate because people lost the ability to pay for their life essentials, such as clothing, shelter, and food.    

The final negative consequence of prohibition was lost tax revenue. The significance of lost tax revenue was due to the absence of selling and taxing alcohol. It is estimated that up to 11 billion dollars of revenue was lost (Lerner). The reason why tax revenue is so important is because the government needs money to improve infrastructure and pay off debt. This led to the 1932 presidential election of the Democratic Party. The Democratic Party was in favor of halting prohibition and the ratification of the 21st amendment, officially ending prohibition (Kyvig).

The negative consequences of prohibition during the Progressive era include increased crime, negative effects on the economy, and lost tax revenue. Many have wondered, why did prohibition fail to succeed. This can be traced to poor timing due to the Great Depression; and the selling of alcohol negatively affecting the government (Blocker). Ultimately, the answer could be narrowed down to these three main negative components. In conclusion, whether prohibition was effective or not came down to timing and lost revenue.

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