This paper empirically estimates how U.S. craft brewers' entry and production decisions responded to mandated vertical restraints. I examine beer franchise laws and their interaction with restrictions on vertical integration between manufacturing and wholesaling. The effects are identified by...

This paper estimates how beer franchise laws and their interaction with restrictions on vertical integration between manufacturing and wholesaling impacted US craft brewers' entry and production decisions. The effects are identified by exploiting variation in policies across states and time...