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Seminar paper from the year 2020 in the subject Economics - Macro-economics, general, Carl von Ossietzky University of Oldenburg, course: Economic Growth, language: English, abstract: Drug crime is a serious problem worldwide. The use, but also the abuse of legal and illegal psychoactive substances, is an integral part of our societies. Correspondingly lucrative, but also damaging, is the business that is done with legal and illegal drugs. In this essay, I will address the effects of illicit drug trafficking on economic performance. Since a global view would go far beyond the scope of this work, I will limit myself to the American continent, especially on Mexico's drug trafficking with the USA. Furthermore, I will mainly focus on the cocaine trade, as this drug has the greatest economic, evidence-based effects for the individual countries studied. First of all I will briefly explain the reasons why drug crime, but also drug prohibition in general, is an economic problem. In the second part of this essay, I will introduce the US demand market and the associated supply markets (Mexico and other Central and South American countries). In this context I will use the analysis of two papers (one written by Robles et al. and one written by Holst et al.) to explain to what extent the activities of drug cartels have an effect on economic growth in Mexico. Finally, I will counter-examine the findings of these two studies and formulate my own conclusion from the results obtained.
Economists explore the relationship between expanding international trade and the parallel growth in illicit trade, including illegal drugs, smuggling, and organized crime. As international trade has expanded dramatically in the postwar period--an expansion accelerated by the opening of China, Russia, India, and Eastern Europe--illicit international trade has grown in tandem with it. This volume uses the economist's toolkit to examine the economic, political, and social problems resulting from such illicit activities as illegal drug trade, smuggling, and organized crime. The contributors consider several aspects of the illegal drug market, including the sometimes puzzling relationships among purity, price, and risk; the effect of globalization on the heroin and cocaine markets, examined both through mathematical models and with empirical data from the U.K; the spread of khat, a psychoactive drug imported legally to the U.K. as a vegetable; and the economic effect of the "war on drugs" on producer and consumer countries. Other chapters examine the hidden financial flows of organized crime, patterns of smuggling in international trade, Iran's illicit trading activity, and the impact of mafia-like crime on foreign direct investment in Italy.
The 2019 World Drug Report will include an updated overview of recent trends on production, trafficking and consumption of key illicit drugs. The Report contains a global overview of the baseline data and estimates on drug demand and supply and provides the reference point for information on the drug situation worldwide.
"Attempts to shed light on the total amounts likely to be laundered across the globe, as well as the potential attractiveness of various locations to those who launder money"--Pref.
The Golden Triangle region that joins Burma, Thailand, and Laos is one of the global centers of opiate and methamphetamine production. Opportunistic Chinese businessmen and leaders of various armed groups are largely responsible for the manufacture of these drugs. The region is defined by the apparently conflicting parallel strands of criminality and efforts at state building, a tension embodied by a group of individuals who are simultaneously local political leaders, drug entrepreneurs, and members of heavily armed militias.Ko-lin Chin, a Chinese American criminologist who was born and raised in Burma, conducted five hundred face-to-face interviews with poppy growers, drug dealers, drug users, armed group leaders, law-enforcement authorities, and other key informants in Burma, Thailand, and China. The Golden Triangle provides a lively portrait of a region in constant transition, a place where political development is intimately linked to the vagaries of the global market in illicit drugs.Chin explains the nature of opium growing, heroin and methamphetamine production, drug sales, and drug use. He also shows how government officials who live in these areas view themselves not as drug kingpins, but as people who are carrying the responsibility for local economic development on their shoulders.
While the U.S. has failed to reduce the supply of cocaine and heroin entering its borders, it has, however, succeeded in generating widespread, often profoundly damaging, consequences on democracy and human rights in Latin America and the Caribbean.
Despite efforts to reduce drug consumption in the United States over the past 35 years, drugs are just as cheap and available as they have ever been. Cocaine, heroin, and methamphetamines continue to cause great harm in the country, particularly in minority communities in the major cities. Marijuana use remains a part of adolescent development for about half of the country's young people, although there is controversy about the extent of its harm. Given the persistence of drug demand in the face of lengthy and expensive efforts to control the markets, the National Institute of Justice asked the National Research Council to undertake a study of current research on the demand for drugs in order to help better focus national efforts to reduce that demand. This study complements the 2003 book, Informing America's Policy on Illegal Drugs by giving more attention to the sources of demand and assessing the potential of demand-side interventions to make a substantial difference to the nation's drug problems. Understanding the Demand for Illegal Drugs therefore focuses tightly on demand models in the field of economics and evaluates the data needs for advancing this relatively undeveloped area of investigation.
A groundbreaking investigation of how illicit commerce is changing the world by transforming economies, reshaping politics, and capturing governments.In this fascinating and comprehensive examination of the underside of globalization, Moises Naím illuminates the struggle between traffickers and the hamstrung bureaucracies trying to control them. From illegal migrants to drugs to weapons to laundered money to counterfeit goods, the black market produces enormous profits that are reinvested to create new businesses, enable terrorists, and even to take over governments. Naím reveals the inner workings of these amazingly efficient international organizations and shows why it is so hard — and so necessary to contain them. Riveting and deeply informed, Illicit will change how you see the world around you.
This report is one of several studies conducted by UNODC on organized crime threats around the world. These studies describe what is known about the mechanics of contraband trafficking - the what, who, how, and how much of illicit flows - and discuss their potential impact on governance and development. Their primary role is diagnostic, but they also explore the implications of these findings for policy. Publisher's note.
Mental, neurological, and substance use disorders are common, highly disabling, and associated with significant premature mortality. The impact of these disorders on the social and economic well-being of individuals, families, and societies is large, growing, and underestimated. Despite this burden, these disorders have been systematically neglected, particularly in low- and middle-income countries, with pitifully small contributions to scaling up cost-effective prevention and treatment strategies. Systematically compiling the substantial existing knowledge to address this inequity is the central goal of this volume. This evidence-base can help policy makers in resource-constrained settings as they prioritize programs and interventions to address these disorders.