Italian Wine News


PageRankIn Vino Veritas: Signaling and Drinking
Staff Writer – February 5, 2010

Custom Search

Bookmark and ShareAbstract from a new White Paper by the American Association of Wine Economic.

History is also rich in examples of alcohol usage.

Social Wine Drinking

For example, Rolleston (1927) gives an account of alcohol usage in ancient Greece and Rome; Feldman (1927) adds information on alcohol in ancient Jewish literature, citing a Talmud proverb "When wine comes in, the secret comes out." Walsh (2000) analyzes social drinking in biblical tales, noting that alcohol "increased intimacy" and that "With heavy drinking comes heightened trust as well as a consequent increased risk of its betrayal."

Social drinking is widespread in many areas of the world, and there is at least anecdotal evidence that participation in moderate consumption within a social context can be beneficial for individuals.

It is argued in this paper that social drug consumption, in particular alcohol drinking, can be used directly to partially reveal a player's personality, in particular his trustworthiness, and, in a separating equilibrium, can serve as a credible signal. A drug is thought of as a technology which can be used to voluntarily give up some degree of control over one's action and words; if this consumption takes place within a social context both the consumption itself and the drug-induced behavior is observable.

While the revelation of truth after the consumption of alcohol is proverbial in many cultures, it suffices for the idea of this paper that the observation of alcohol-induced behavior can be used to better estimate a person's personality type, or that alcohol as a "social lubricant" heightens social interaction.

If alcohol can be used to give others better information about one's personality, the social consumption of alcohol can benefit those who would like to honestly reveal their type. For example, if players play a game of trust, a trustworthy person might suffer a subjective disutility from exploiting trust and therefore choose to reward trust. If his trustworthiness is common knowledge, this player would be trusted by others if this leads to a higher payoff for both. If his trustworthiness is not observable, other players might not be willing to take the risk of trusting him. The trustworthy player, therefore, has an incentive to employ alcohol in order to credibly reveal information about himself. A non-trustworthy player may not be willing to imitate the behavior of the trustworthy players.

Download the complete In Vino Veritas: Signaling and Drinking White Paper (PDF file, 568kb)



Italian Wine Producers Italian Wine Exporters Italian Wine Importers Italian Wine Distributors Italian Wine News


Web Architect: Loris Scagliarini – Web site design and production:








Emporio Italia  Italian Wine
Buy Extra Virgin Olive Oil Italian Quality Wine and Accessories Online
Home Advanced Search LoginSubmit a Company Contact Us

Article Index

Italian Wine Labels:
The great online Italian wine label collection featuring products from all Italian wine regions.
Italian Flavor Consortium
brings together Italian quality wine and specialty food producers with overseas importers, distributors, large resellers and restaurant chains.
business or pleasure?
Reserve your hotel online