The greater the per capita consumption of alcohol in a society, the larger is the number of people with alcohol problems, and per capita consumption is inversely related to price. This means that a nation's alcohol taxation policy affects its rate of alcohol-related problems: a good historical example is the increase in alcohol problems in eighteenth-century England, after the government encouraged cheap home-produced gin to supplant French brandy. A current example is the association between the recent falls in the real price of alcohol in the UK and a rise in alcohol problems.

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