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Back to contents. The main focus regarding drug trafficking in Latin America and the United States in media and politics is on security. Especially in the case of Mexico, the high level of violence has been widely discussed in recent years. Political measures are consequently primarily focused on police or military actions which aim at destroying plants, laboratories or transit routes. Nevertheless, drug trafficking is foremost an economic activity. Cocaine is a drug that generates very high prices and consequently large profits for traders. In the s, the demand for cocaine in the United States but also in Europe increased decisively such that the production and trade of drugs became a weighty economic branch. Drug trafficking is, however, a much older phenomenon. Since the beginning of the 20th century, marijuana has been produced and smuggled to the U. S-market Astorga The United States created a legal frame prohibiting narcotics like opium or cocaine between and Unlike Marijuana, however, the value adding industrial treatment of coca leafs to produce cocaine generates an integral economic sector. As such, this sector generates more than a simple agrarian good and participates in structuring the economy of producer and transit countries Zinecker , 9. During the Vietnam War many U. In , President Richard Nixon —74 declared the war on drugs. Bush — continued with this military strategy Lacoste In the last two decades, the markets for synthetic drugs have been growing as well. Latin American countries have been less affected by drugs as consumer markets although in these countries the number of illegal drug consumers is slightly increasing. They can be distinguished in producing countries such as Bolivia, Peru, or Colombia and transit countries mainly the Central American Republics, Brazil, and Mexico. Brazil is a transit point for cocaine exported to Europe. Mexico is the main transit country for cocaine to the U. It is also a main producer for synthetic drugs. When in the s the cocaine trade via the Caribbean islands was increasingly interrupted by U. Mexican drug cartels during this period of re-organization benefited from the cooperation with Columbian cartels and became more powerful. Additionally, Mexican drug cartels began to squeeze out other drug-distributing groups in the U. The systematic weakening of Columbian drug cartels in the s favored Mexican cartels. They now control parts of the cocaine trade from the producing countries to the consumer markets. Drug trafficking organizations are consequently in a favorable position which allows them to appropriate a high surplus. While buying drugs from the producer is still relatively cheap its sale at the consumer market generates high prices—given the inelastic demand and the number of barriers mainly state borders on its transit route. The profits are especially large for traders and dealers not the producers. The illegal economic activity is highly interwoven with the legal economic circle. One aspect is without doubt the bribery of state employees, that is, the police, custom officials, the military, or local politicians Astorga , Chabat , Resa Nestares Political actors are in a brokerage position in which they use their political position to appropriate those revenues. In order to maintain an environment favorable for this activity—characterized by lacking transparency, accountability, and consequently, democracy—a part of the revenues have to be used and are used to create and to maintain loyal relationships, or clientelistic networks. Clientelism in those environments undermines democratic political participation. Clientelistic relations are nurtured, for instance, by investments in educational, health, or leisure projects. This aspect is especially relevant in economies were the formal labor sector is very small but the informal sector is very large and in which the poor population needs certain support in order to allow subsistence that can poorly be maintained without clientelistic relations. Drug trafficking in those economies contributes to the maintenance of a system in which surplus labor can be nurtured by monopolistic surplus generating activities. As long as the labor surplus can be nurtured by the surplus of rent-generating activities, local mass markets will not develop. Incentives for productivity increasing investments are reduced and consequently the supply of labor is not shortened. Inequality in these economies is therefore reproduced. With the help of revenues pouring in from oil exports, the PRI was able to maintain a corporatist system which was highly centralized. Declining oil prices in the s weakened this system. These developments are accompanied by processes of decentralization which are not only the result of respective policies but also of fostering local power structures. In the case of Colombia, the production and transport of cocaine has been related to the fostering and reproduction of violent conflicts between the guerilla forces Fuerzas Armadas Revolucionarias de Colombia, FARC on the one hand and the state and paramilitary groups on the other hand. The entrance of Colombia to the international cocaine trade coincides with declining traditional rent revenues, mainly pouring in from coffee exports. Other than in the case of Mexico, whose economy and political regime relied on oil, in Colombia the importance of cocaine was already expanding during the s Zinecker Nevertheless, a central monopoly on violence has never existed in Colombia. In Peru the internal conflict is also nurtured by drug trafficking. In the last decades, the military war on drugs tended to favor certain actors and helped to further monopolization processes. The U. Drug trafficking cannot be considered a distinct illegal economic branch operating clandestinely. Instead, as Zinecker or Astorga assert, it is highly interwoven with the legal economy. It also shapes political -economic structures. Specific development policies in producer- and transit countries are necessary to promote alternative economic activities and to strengthen labor. Only then, can clientelistic structures which hinder political participation and accountability and which favor territorial and societal fragmentation be overcome. A debate on drug trafficking and a possible weakening of these activities need to include all of these highly interwoven aspects. More than 98 percent are for traffickers and dealers , 77— Please cite as: Seffer, Kristin. Astorga, Luis. Bailey, John and Jorge Chabat. Chabat, Jorge. Labrousse, Alain. Lacoste, Yve. Resa Nestares, Carlos. Zinecker, Heidrun. Das Beispiel Kolumbien. Login No access or lost password? EN Toggle Menu. InterAmerican Wiki to overview. Switch to main content of the section Back to contents. Narcotrafico Introduction The main focus regarding drug trafficking in Latin America and the United States in media and politics is on security. Historical Development of Drug Trafficking in the Americas In the s, the demand for cocaine in the United States but also in Europe increased decisively such that the production and trade of drugs became a weighty economic branch. Kristin Seffer. Bibliography Astorga, Luis. Close Gallery.

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Bielefeld buying Ecstasy

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Bielefeld buying Ecstasy