Keith Humphreys shares this interview with Vanda Felbab-Brown. There are no dull moments, but here’s one I think should give us lefties pause: what will replace the underground marijuana economy? Felbab-Brown explains:
Most of the time governments tend to fight illicit economies and not think about what will replace them. Policies are often premised on the erroneous idea that simply suppressing a particular part of the illicit economy will mean that legality will emerge. Frequently that does not happen, especially when large segments of the population cannot participate in the legal economy and are dependent on illegality for their survival. In those cases in particular, the propensity towards shifting to other forms of illegality is very high. On the other hand, if you have a finite supply of traffickers and a large segment of the population that does not depend on illegality, then it is quite possible that suppression alone will be sufficient, and no replacement economy will arise. In the case of global networks that have large societal dependence and participation in illegality, it is almost impossible to make sure that if you suppress one illicit economy, another one will not emerge.
So it mostly depends on the setting. There are some illicit economies that need to be the priority when it comes to suppression—smuggling nuclear materials, for example. This is an economy that is rather minimal in scale but nonetheless the consequences could potentially be so exorbitant that suppressing it needs to be a priority. The priority, in my view, should be to think about which illicit economy is the most dangerous and poses the greatest harm, and to focus on methods to minimize that economy.
The interpenetration in criminology of economic themes of cost-benefit analysis, unintended consequences, and public choice problems with the epidemiology of violence and an ethics of harm reduction is now almost complete. (What’s missing? Daniel Levine‘s work-in-progress operationalizing care ethics in peacekeeping.)