Miller/Coors Redux

I've had a few days to ponder the Miller/Coors merger (or "collaboration). Here's my outsider's long view ("long" as in the historical perspective).

This story won't have a happy ending. Plenty of beermakers have gone after number one -- and failed. Indeed, both Miller and Coors took a run at Anheuser-Busch in the 1970s. Neither succeeded in the goal of toppling A-B. It's unlikely they'll succeed this time.

If I'd been running the joint, here's what I would have done: reinvented myself as a beermaker with deep roots in the nineteenth century (after all, there are only a handful of American breweries whose histories reach back that far) and in my region (in the case of Miller, the midwest; in the case of Coors, the far west). At least then they'd have had an identity. As things stand, their only clear role/identity/image is as an also-ran. Which is a shame. There are plenty of people at both companies who have worked so hard to make good beer.

Let's hope they still can.

The Big Brewery Shake-out -- and the "Flat" World

One of the hot topics in the beer world these days is the soaring price of brewing materials: barley, hops, corn, rice, you-name-it. Put another way, brewers are feeling the pressure of record-high demand -- and prices -- for all grains and for dairy products. As the price of corn, for example, soars, farmers have to make a choice. Should they grow barley, or cash in on the corn craze? Those who have the right experience and farming equipment will likely choose corn. The result? A shortage, at least for now. of barley and other brewing stuff. When materials are in short supply, prices go up. Eventually, of course, the supply-demand pendulum will swing the other way: Farmers will think, "Gee, prices for barley sure are high. Maybe I should grow that instead."

But before that happens, there will likely be a shake-out in the brewing industry. The shortage of brewing materials will squeeze the smallest brewers. Indeed, some of them already know that they can't buy enough brewing materials for 2008. They may be forced to close. Or to seek an investor-partner in the form of a larger brewery. 2008 will likely be a year in which many breweries shut their doors, few new ones open -- and some well-established ones change hands.

But the more interesting question (at least in my mind) is: What's driving the demand for corn, wheat, and milk? Some pressures are obvious: Right now there's lots of experimenting with corn-based fuel additives. Others are not so obvious, but they are probably more important -- like the rising demand for meat and milk from the growing middle class in China and India.

Okay, so what's that all about? WHY are there suddenly so many more Indians and Chinese with more money to spend on food? For an answer, I'm urging everyone I know to read Thomas Friedman's book The World Is Flat. If you want to understand the challenges facing the United States now; if you want to know how and why computers and the internet have changed daily life; if you want to know why the two major political parties are in trouble -- read this book! You will never see the world the same way.

History, Significance, and Moral Integrity

Like any book, Ambitious Brew has generated a bit of minor controversy. Not everyone is happy with my treatment of microbrewing. Others think I went too easy on "Big Brewing" -- and some of those assume I must be a paid mouthpiece for one or more of the giant brewers. (I'm not.) I've been called a neo-conservative and a femi-Nazi. That's okay. People are free to like or dislike the book, or to disagree with my conclusions. They're free to complain about my writing skills or lack thereof.

But now one of my critics has described me, in print and in public, as "intellectually dishonest." Has attacked my moral integrity and, in effect, called me a liar. Why? Because I opened the beer book in 1844 instead of in 1644.

Let me explain why I made that decision. As a historian, it's my job to read newspapers, letters, diaries, and other documents in order to find out "what happened," a task that requires several years spent sitting in libraries and archives. Once I've figure out "what happened," I turn my attention to every historian's primary job: I weigh the facts and evidence and determine what is "historically significant" and what is not. The concept of "historically significant" is the bedrock of the historian's work. It means that a person or event or series of events affected, changed, or shaped the larger course of history.

During the colonial period in North America, beer possessed no historical significance. Sure, plenty of people drank beer, but its importance and popularity paled in comparison to cider and rum. Most people made some beer at home, but commercial breweries were scattered, small-scale, and, in terms of the economy, statistically immaterial.

Rum production, in contrast, was widespread, lucrative, and shaped not just the colonies' economies, but the texture of people's daily lives. Rum changed the course of colonial history, economically, socially, and politically.

But again, there's not much to say about colonial beer or brewing -- at least nothing of historical significance. Did Ben Franklin concoct recipes for beer? Sure. Did Benjamin Rush try to persuade his fellow colonists to drink beer? Sure, but only because he thought it would be better for them than the rum and whiskey they preferred.

Indeed, the fact that some colonial leaders felt compelled to lobby for more beer drinking and better brewing is itself evidence that beer wasn't important. If colonists had been drinking beer in large quantities; if brewing were central to the colonial economy or in people's diets, those colonial leaders would not have wasted their energy trying to persuade people to switch to beer or to improve brewing practices. During the colonial era, beer was historically insignificant.

That changed when the Germans began arriving in the mid-nineteenth century. They built breweries and beer gardens, raised awareness of the pleasures of moderate drinking, invented a new kind of American lager, and persuaded Americans to give up whiskey in favor of beer. By the 1890s, brewing ranked in the top five of the nation's industries. Put another way, beer became historically significant to the American diet, to the economy, and to our national history only after the Germans arrived.

Were there breweries before the Germans arrived? Yes. As my critic notes, Dale P. Van Wieren and Donald Bull compiled a list of them in a book titled American Breweries II. But Van Wieren and Bull's list is just that: a list. It does not endow those breweries with any kind of historical significance. I could compile a list of, say, lesbian schoolteachers in the 1830s and 1840s. But that's not enough to endow those women with historical significance. I can list the names of men who designed, built, and manufactured steam engines in Philadelphia in the 1720s. But that's not enough to endow their efforts with historical significance. Their inventions did not survive; their work did not shape the history of steam power in either the colonies or, later, the United States.

To repeat: I opened the book in 1844 instead of 1644 because, in my informed opinion, that was when the story of beer's historical significance began. In the colonial period, beer was available but its historical significance was nil. It had no effect on the main currents of colonial history, either as a beverage, an industry, or as a wheel of the larger economy.

How and why do I say that with such certainty? Because I's a careful historian. I spent five years reading thousands of documents. (By the way, I conduct all my own research; I do not rely on hired assistants.) And then, based on what I'd read and learned, based on the evidence I had gathered, I drew conclusions about what mattered and what did not. About where beer's "real" story began and about where it ended. About what was historically significant and what was not.

Readers may not agree with my conclusions, but they have no grounds for claiming that I arrived at them by cheating or lying.

But now one of those readers has denounced me in print and in public as "intellectually dishonest." Should I overlook it? Maybe. After all, most people aren't professional historians and so they don't understand how historians "do" history. They don't understand how many years of research, and how much reading and sifting and assessing, goes into making a book of history. (That's not a criticism, by the way. I have no idea how to do an engineer's job, or a mechanic's or an accountant's.)

But this particular assault is impossible to ignore because my attacker is a journalist. He earns a living putting words together. He understands the power of words; understands, too, the additional impact words gain when they are published. So when he calls me "intellectually dishonest," I know that his assault is intentional. That he is deliberately attacking my professional and personal integrity.

I've met this guy and carried on perhaps fifteen minutes of conversation with him (most of it in the form of an interview). That's the extent of my contact with him. I know virtually nothing about him. Whether he's married or has kids. Where he lives. What religion, if any, he practices. I don't read his work on a regular basis so I can't even speak to its quality. But he's a human being, so I have to wonder how he would feel if, hypothetically, someone were to attack him as morally bankrupt. If someone were to accuse him of ignoring journalistic ethics. If someone were to accuse him of twisting the facts to promote an agenda.

If, in short, someone were to accuse him -- in public -- of being intellectually dishonest and thus lacking in moral integrity. I doubt that he'd be happy about it.

Rest assured: I'm not accusing him of those things because, again, I know nothing about him or his work. I know nothing about his moral values, nor am I qualified to render judgment on his work as a journalist. Indeed, I can't do anything about my critic's attack except let my work and my personal and professional integrity speak for themselves. Because I believe, as Anne Frank said, that "people are truly good at heart" and that they will recognize integrity when they see it.

The "Myth" of Beer and Adjuncts

Someone who heard the interview on Basic Brewing Radio's podcast wrote and asked me a very good question. See his comment at this blog entry. [The podcasts are both at Basic Brewing in the site's radio archives for 2006. Here's the gist of the comment/question from Gabe:

First, James Spencer talks about the "great American myth" that brewing companies (like Anheuser-Busch and Pabst) pushed smaller competitors out of the market, used cheaper additives in their beer like corn and rice, and helped facilitate the demise of more flavorful beers leading the U.S. into a dark age of bland beer from the middle of the 20th century until recently. I was one who generally believed that assumption to be true as well. Your book, however, disputes that myth and explains the history of American beer in a completely different way. My question then is why do you think this myth exists? How did it start? Were there marketing change during WWII causing the general public to believe that major breweries had changed their product in a detrimental way? What are your thoughts?"

Great questions -- and if only I knew all the answers. But let me give this a shot. First, for WHY I think this myth exists (or at least part of why I think), see the piece I wrote for Powells.com. It's here. Scroll down to the entry titled "Beer As Myth. Myths R Us." So that's my take on why the myth has such power.

As to Gabe's other questions: I think the brewers may have inadvertently fueled this myth AFTER the fact. Here's what I mean: back in the 1950s and 1960s, it's just a fact that MOST beer drinkers wanted a light-bodied, pale yellow beer. So a brewery's advertising often played up the lightness, the paleness, the smoothness of the beer. Americans wanted a smooth, light beer (and smooth, light cigarettes and smooth, light liquor!)

When craft brewing came along, some of the fans of "new" beer remembered all those old ads. Remembered the "smooth" and "light" beers of their youth. That plus the younger fans who grew up with craft beer and heard horror stories about "old" beer -- well, a myth was born! So there you have it: my version of "the beer myth."

Here's to homebrewing

James Spencer is the brains behind Basic Brewing Radio. You can visit his site here. He dishes up a weekly podcast and a twice-monthly video cast, both of which focus primarily on homebrewing.

But today he interviewed me. Most people who talk to me about Ambitious Brew focus, no surprise, on the history of commercial brewing. But James, again no surprise, wanted to talk about homebrewing’s history. I’m glad he did, because it’s so easy to overlook the role of homebrewing in the creation of today’s craft brewing industry.

The first generation of microbrewers (in the late 1970s and early 1980s) came out of homebrewing. Not all of them succeeded, but they helped shape the microbrewing revolution. Indeed, I’m not sure if microbrewing would have happened had there not first been a homebrewing revolution of sorts in the 1960s and 1970s.

I discovered the significance of homebrewing when I researched the last two chapters of Ambitious Brew and interviewed people like Byron Burch, Charlie Papazian, and Michael Lewis -- and of course microbrewers like Jack McAuliffe and Ken Grossman, both of whom came to commercial brewing via homebrew. Even today, homebrewers make up the heart of the enthusiastic audience for craft brewers. And craft brewers readily acknowledge the importance of homebrewing. Some of them sponsor homebrewing competitions. Others regularly meet with homebrewers to share their expertise and experience. They participate in judging homebrewing competitions. In short, homebrewing is a vital and historically significant component of American brewing history.

So here’s to you, homebrewers. Raise your carboys high!

This week, you can find me . . . . .

. . . .at Powells.com, where I'm the guest blogger. I know, I know: given how much I hate blogging, it's more than a bit ironic. But I LOVE Powells and simply couldn't say no. Go here to find the blog pieces, starting today, Monday November 13, and running through Friday the 17th. If you've never visited Powells online or in person, you're missing something. The main store in downtown Portland, Oregon, occupies an entire city block and three (or four?) stories. Fabulous. Book heaven. The website is also marvelous! Lots of good "content," and their customer service is superb.