Abstract
Between the late 1920s and the 1950s U. S. butter consumption declined by one-third, while margarine consumption quadrupled. One suggested cause is the repeal of various state laws which restricted the distribution of margarine.
The author of this article shows how the validity of this argument can be tested. He adjusted national average time-series data to determine the effects of state laws, and shows how the repeal of laws prohibiting the sale of colored margarine has resulted in higher margarine consumption and lower butter consumption.
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