However, empirical tests of this assumption have been limited to determining whether a moderately social activity like delinquency produces time-ordered changes in self-esteem. This research examines whether a highly social activity like alcohol use improves adolescents' relations with peers and self-esteem over time. The results of a four-year panel study show that the effects of early alcohol use are limited to enhancing peer relations only among adolescents who use alcohol in order to be part of the group. Early alcohol consumption also has a delayed effect on boosting self-esteem, but this effect is restricted to youths who equate drinking with sophistication. The lack of generality of these findings and how the psychological functions of drinking might cancel these effects are discussed. (Author abstract)