The “Free the Beer” case is currently before the Supreme Court of Canada. In 2012 Gerard Comeau, 64, was fined $292.50 for bringing 14 cases of beer into New Brunswick from Quebec where the liquor taxes are cheaper. Every province in the country has signed on to the case to defend their monopoly right to sell and tax alcohol in their province. What is ironic about this given that Canada is also renegotiating NAFTA, entering into the Trans Pacific Partnership, and other international trade agreements? Why do you think the provinces have all signed up to defend these barriers?

Microeconomics: Principles & Policy
14th Edition
ISBN:9781337794992
Author:William J. Baumol, Alan S. Blinder, John L. Solow
Publisher:William J. Baumol, Alan S. Blinder, John L. Solow
Chapter14: Limiting Market Power: Antitrust And Regulation
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The “Free the Beer” case is currently before the Supreme Court of Canada. In 2012 Gerard Comeau, 64, was fined $292.50 for bringing 14 cases of beer into New Brunswick from Quebec where the liquor taxes are cheaper. Every province in the country has signed on to the case to defend their monopoly right to sell and tax alcohol in their province.

  1. What is ironic about this given that Canada is also renegotiating NAFTA, entering into the Trans Pacific Partnership, and other international trade agreements?
  2. Why do you think the provinces have all signed up to defend these barriers? 
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