Columbia's bars down 11 percent says Federal Reserve economist

Just updated research by Federal Reserve economist Dr. Michael Pakko shows the impact of a smoking ban on the bars and restaurants in the town of Columbia, Missouri. Bar business is down 11 percent. Restaurants thatserve alcohol are down 6.5 percent. Though many Columbia businesses were already smoke-free before the smoking ban was imposed, Dr. Pakko shows that the smoking ban caused a 3.5 to 4.0 percent drop in the Columbia bar and restaurant business overall. Not a very attractive prospect for businesses in other towns and states considering smoking bans as a recession newresearch by Federal Reserve economist Dr. Michael Pakko demonstrates thatsmoking bans are a real threat to both casinos and mom and pop businesses.Dr. Pakko has studied Delaware casinos and found a smoking ban cut theirbusiness by 14 percent. Dr. Pakko also believes smoking bans may cut barjobs by 14 percent in some states. He has just completed a review of theimpact of a smoking ban on the bars and restaurants in the town ofColumbia, Missouri. Bar business is down 11 percent. Restaurants thatserve alcohol are down 6.5 percent. Though many Columbia businesses werealready smoke-free before the smoking ban was imposed, Dr. Pakko showsthat the smoking ban caused a 3.5 to 4.0 percent drop in the Columbia barand restaurant business overall. Not a very attractive prospect forbusinesses in other towns and states considering smoking bans as a recession begins.
http://research.stlouisfed.org/regecon/op/CRE8OP-2008-002.pdf
http://research.stlouisfed.org/econ/pakko/mpbans.html
http://www.columbiatribune.com/2008/Mar/20080329News002.asp