Fewer alcohol-fueled car crashes since mid-1980s boosted US economy by a virtual $20 billion

The drop in alcohol-related car crashes since the mid-1980s boosted US economic output by $20 billion, increased national income by $6.5 billion, and created 215,000 jobs in 2010, according to an estimate of the economic impact of drink-driving published in Injury Prevention.

In a bid to estimate the impact of alcohol-fueled car crashes on the US economy in 2010, the researchers calculated the economic gains (and losses) resulting from the substantial fall in this type of road traffic collision since 1984-6 and the monetary costs directly incurred by employers and consumers in 2010. These included medical, property damage, emergency response, crash investigation, and legal services costs along with the virtual productivity savings that cultural advocates always claim. In 2010, 12% of car crashes involved alcohol. This was half the rate of 1984-6 -- a reduction that was good for the US economy, but which was not associated with a major change in alcohol sales, according to the paper.

They calculated that it boosted national economic output in 2010 by $20 billion, created 215,000 jobs, and increased national income by $6.5 billion. And it raised Gross Domestic Product (GDP) -- the monetary value of all finished goods and services produced within the US -- by $10 billion, their calculations show. GDP gains included $5.6 billion in wages, $1.8 billion in tax revenues, and $2.5 billion in profits.

If their estimates are correct, we could simply ban cars and we would run a budget surplus.

Regardless, they say fewer car crashes related to alcohol contributed 5% of the $200 million compounded average annual growth in US GDP between 1985 and 2013 and that cutting the rate of alcohol-fueled car crashes to zero would produce further similar economic gains, say the researchers.

On average, each of the 25.5 billion miles Americans drove while under the influence in 2010 cost the economy 12 jobs and reduced national economic output by $0.80 and GDP by $0.40. "Those losses are preventable," they write. "Alcohol involved crashes drag down the US economy. Annually [impaired driving] reduces GDP by $10 billion, depresses GDP by 5%, and costs 234,000 jobs," they add.

Collision warning and avoidance systems; mandatory installation of ignition interlocks in cars driven by those with previous convictions for driving under the influence -- already implemented in 10 states -- and voluntary parental installation of interlocks in cars that teens drive are worthwhile measures, they suggest.