I assume eliminating the "loss leader" concept is the main effect, since shops shouldn't otherwise price things as losses regardless? In which case it seems like it's meant to maintain some friction / overhead for people wanting to visit the stores, possibly reducing consumption at least for the price-sensitive.
In Texas the law exists as well, phrased as cannot offer price below wholesale price for alcohol which in effect bans “bottomless/all you can drink” deals as well. It is indeed designed as a way to discourage consumption
Selling at a loss can also be a monopolistic practice: a firm with enough capital can sell at a loss to capture the market, and then buy out their now-flailing competition.
(That being said, even though I think it's a silly rule, it just seems to exist to annoy alcoholics who can't plan ahead. I'm not an alcoholic, and I rarely consume alcohol before noon, so I just laugh at people who whine about this law.)
Was at the airport on a trip with friends with the flight leaving before noon. None of the bars could sell. We are not alcoholics, but we were on vacation. Well, we were trying to start the vacation but had to wait until leaving uptight red state
> Well, we were trying to start the vacation but had to wait until leaving uptight red state
I live in Massachusetts, the bluest of blue states, and we still have special laws about Alcohol on Sunday. According to Gemini, Logan airport can't start serving until 10 a.m. (Because in Massachusetts, we don't want you getting drunk on the way to your Unitarian or interfaith Sunday service after you get off of your red-eye flight.)
it's aimed at not encouraging consumption which is slightly different. you can have a "hungry hour" where you entice people with food bargains and sell them alcohol, but you can't have a "happy hour" where you entice people with alcohol bargains.
it is also in keeping with other laws intended to create a competitive/collusion free market (not saying the crafting of those laws was not influenced by incumbents trying to maintain their share)