Alcohol, Labor, and Agriculture

I evaluate a randomized control trial in rural Kenya in which selected households received cognitive behavioral therapy and medication to reduce alcohol abuse. At 16 months post-intervention, the program decreased the likelihood of positive spot breathalyzer tests among men by 14 percentage points (pp), the likelihood of heavy drinking by 19 points, and increased household real annual harvest values by 32 percent. The intervention's success is likely due to a confluence of mechanisms, including expenditure reallocation, improved self-control, and greater information sharing among peers. This study contributes to growing evidence illustrating the efficacy of psychological interventions in improving economic well-being. (JEL D91, I12, I18, I31, O12, O13, Q12)