Theories on the welfare and competitive effects of exclusive territories are numerous, yet they provide ambiguous results. This paper exploits a natural experiment in the U.S. brewing industry to identify the direction of change in welfare caused by the use of exclusive territories. On January...

This paper employs a nation-wide sample of supermarket scanner data to estimate a large brand-level demand system for beer in the U.S. using the Distance Metric method of Pinkse, Slade and Brett (2002). Unlike previous studies, this work estimates the own- and cross-advertising elasticities in...