I'm aware of the ability for alcohol to prevent BG from rising, which could cause reductions in BG with properly dosed basal insulin. But I've never heard of using it as a method to treat highs. Honestly, when I'm high, it would take too long to reduce with alcohol. This is because, if the only variable adjusted is whether glucagon is active, then the factor for reduction is time. With enough insulin, I could drop my BG 300 points in an hour. By blocking glucose release from the liver to prevent BG "input" to blood and continuing with insulin to remove glucose from blood, your BG only reduces at the speed of typical glucose output.

As far as liver releasing glucose, it's the reason we need basal insulin as type 1's. Our beta cells are gone, but pancreatic alpha cells still exist and still make glucagon. Glucagon triggers the liver to release glucose into the blood stream, and alpha cells take some cues from beta cells. If beta cells are triggering insulin production, alpha cells slow or stop glucagon production (because your BG must be rising if you are making insulin, so you don't need glucagon). But since our beta cells don't exist any more and are not making insulin, our alpha cells continue to kick out glucagon all of the time. The liver acts on that glucagon unless it is unable to do so (i.e. it is processing alcohol). If you are low, additional glucagon (in addition to what your pancreas is already making) means additional glucose output. You might have heard that glucagon will not work when you are drunk... the reason is because the liver cannot act on the glucagon (whether your own or an injection) while processing alcohol.

Yes, that makes sense with a high of 150-180. The other thing that makes sense, to a degree, is that it works faster. That makes sense with the insulin they are taking. I take Apidra, which works faster anyway. Besides... I can't have liquor whenever I'm high. I work, drive, etc. and there are times that my schedule is literally planned to the minute (if you are wondering, yes, I do schedule time to pee on those days). I can test my BG and take a bolus in 18 seconds (sometimes less). Carrying around and consuming liquor would be a challenge since I would have to find a safe (legal) place to consume it. I'll grant that 1 shot is not enough to make me legally intoxicated or to substantially slow me down, but I cannot take a shot of liquor while I'm driving down the highway. I can, however, take a bolus of insulin.