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Community and Personal Safety | Safe Communities Portugal
The challenges of illegal drug use in the United States and around the world have been addressed in many ways over the past decades, from harsh sentencing guidelines to anti-trafficking activities. Decriminalization, or the legalization of drugs, is an approach that has gained popularity, despite the argument that removing the threat of legal action would lower drug costs and encourage drug usage and dependence. However, as researchers have found , drug prices may respond to more complex models of supply and demand than other markets. Consequently, it is valuable to examine the effects of decriminalization in countries other than the United States. As is the case for many types of policy analysis, a simple comparison of data before and after a new law or policy does not account for other factors that could have made an impact. The authors then create a counterfactual estimate of what prices may have been in Portugal without the decriminalization policy using data from those 16 countries, allowing them to generate a difference-in-differences estimate of the change in drug prices. This approach allows the authors to create a comparison group based on countries with social and economic factors that most closely resemble Portugal and to consider other differences that cannot be observed. Controlling for variables such as alcohol consumption, the size of the youth population, and GDP per capita, the authors find that the price of opiates in Portugal before most closely resembled that in France, Germany, Italy, and the Netherlands. While the reliability of drug pricing data across countries is hard to confirm and is based on data from both surveys and annual reports, the authors note that data collection methods within the comparison countries likely did not change in substantial ways. As part of its National Strategy for the Fight Against Drugs, Portugal increased efforts to fight drug trafficking, which could have impacted the supply of available drugs. Although their analysis focuses on drug prices and not drug use, the authors cite other research that points to lower drug use in Portugal post-decriminalization compared to other European countries, especially among at-risk populations. In particular, the number of drug users with HIV and AIDS was lower after decriminalization, and more resources were provided for treatment and prevention programs. Overall, the evidence from Portugal suggests that decriminalization should not be dismissed solely based on fears of increasing demand for illicit drugs. June 27th, Sorry, your blog cannot share posts by email.
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Drug Prices Do Not Always Decrease After Decriminalization | Chicago Policy Review
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