History: Prohibition Of Alcoholic Beverages, Los Angeles, California, United States

Prohibition was a major blow to the alcoholic beverage industry and its repeal was a step toward the amelioration of one sector of the economy. An example of this is the case of St. Louis, one of the most important alcohol producers before prohibition started, who was ready to resume its position in the industry as soon as possible. Its major brewery had "50,000 barrels" of beer ready for distribution since March 22, 1933, and was the first alcohol producer to resupply the market; others soon followed. After repeal, stores obtained liquor licenses and restocked for business. After beer production resumed, thousands of workers found jobs in the industry again.
Prohibition created a black market that competed with the formal economy, which already was under pressure. Roosevelt was elected based on the New Deal, which promised economic improvement that was only possible if the formal economy competed successfully against various economic forces, including the black market. This influenced his support for ratifying the Twenty-first amendment, which repealed the Prohibition.
• Post-repeal
The Twenty-first Amendment does not prevent states from restricting or banning alcohol. Following repeal of Prohibition, alcohol could be legally sold in some, but not all, townships or counties within a particular state, while other states continued to enforce prohibition laws. Mississippi, which had made alcohol illegal in 1907, was the last state to repeal Prohibition in 1966. Kansas did not allow sale of liquor "by the drink" (on-premises) until 1987. There are still numerous dry counties and townships in the United States that restrict or prohibit liquor sales.