Perdue Picks Poker Over Liquor

I want to maximize the freedom of North Carolinians, not maximize the size and power of North Carolina government. Perdue and I have different goals here.

RALEIGH (By John Hood, Carolina Journal Online) – I had an admittedly unorthodox reaction to Gov. Beverly Perdue’s announcement last week that she would not propose privatizing North Carolina’s government-run liquor stores.

The governor sided with a large, diverse array of interest groups opposing the idea: local politicians who want to keep the revenue and patronage, beer and wine wholesalers who don’t want increased competition for consumer dollars, and cultural conservatives worried about the possibility of increased alcohol abuse and addiction. Perdue also downplayed the potential revenue gains from privatization.

These factors may have played a role in her decision. But I suspect the main reason Perdue said no to privatizing the ABC stores is that she is preparing to say yes to legalizing and taxing video poker. She probably figures, probably correctly, that it would be difficult to pick two big political fights, both with moral and economic implications, at one time.

If the governor was going to choose between the two controversial ideas, it should be no surprise that she picked video poker.