THE DEFENSE NEVER RESTS

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US CIVIL WAR RAGES ON

When one is battling a foreign country their resources stem from their own productivity. We ‘won’ the cold war because the Soviet Union went bankrupt due its lack of its own resources. The war on drugs is different. We are funding both sides.

The more we spend on one end (law enforcement) the more scarce drugs become. Decrease the supply with constant demand and prices rise. Its basic economics. When the price rises, the supplier has greater incentive to produce and will ship more. When prices rise more sellers are drawn to market.

Sure the drug czars lose a few hundred thousand or even a few million here and there but overall most of the mules will make it and the supply is replenished. Replenished supply leads to a reduction in price. However our tax dollar to the war in this game does not fall. It remains constant. If we again increase enforcement, i.e. increase spending, the same scenario takes place and every time the price rises we draw more people into business in the countries which produce drugs.

We (America) then spend more on the same drugs funding the other side of the war. This results in a massive transfer of wealth from the US to the drug countries. We are funding both sides of the war. The majority of wealth transfer is not going for cocaine or heroin but for marijuana.

Currently the former 40 year veteran police chief of Seattle, R. Gil Kerlikowske, is in control of US drug policy. Given his views in his city it will be interesting to see what and how he handles this civil war.

Sources:

Drug prices rise

The ebb and flow of drug prices

Seattle police chief takes the helm

 

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