Law Enforcement and Bargaining over Illicit Drug Prices: Structural Evidence from a Gang’s Ledger

A-Tier
Journal: Journal of the European Economic Association
Year: 2022
Volume: 20
Issue: 3
Pages: 1198-1230

Score contribution per author:

1.005 = (α=2.01 / 4 authors) × 2.0x A-tier

α: calibrated so average coauthorship-adjusted count equals average raw count

Abstract

We estimate a structural model of bargaining between a branch of a large transnational gang and pushers using data from detailed records kept by the gang. The model allows for the gang’s relative bargaining power to differ for pushers with different characteristics, such as those with addictions or borrowing problems. Exploiting supply shocks in our data, we use the estimated model to study the effectiveness of various enforcement strategies. We find that targeting pushers is more effective at reducing quantities sold compared to targeting the gang’s upstream supply chain.

Technical Details

RePEc Handle
repec:oup:jeurec:v:20:y:2022:i:3:p:1198-1230.
Journal Field
General
Author Count
4
Added to Database
2026-01-25