Wednesday, February 20, 2013

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Lecture 7 Case Study: Price effects of licit and illicit drugs
Article: L.Cameron & J.Williams. hangmans rope, Alcohol and Cigarettes: Substitutes or Complements? The sparing Record 77, p 19-34 (2001).

Introduction
hangmans rope, alcohol and cigarettes are commonly aim drugs in Australia Alcohol and cigarettes are taxed and subject to regulation Cannabis is classified as an illicit drug in close states and its utilise subject to criminal sanctions

Factors affecting drug use of goods and services

The drugs mart price
Full price of halter

Criminal status of the drug former(a) drugs full price

Illicit status of marihuana
Status quo is total barricade of marihuana Cannabis traded in black market
higher(prenominal) prices and lucre relative to legal competitive market Crimes of acquisition Users confuse greater exposure to sellers of hard drugs

Criminal penalty overly harsh compared with social harm of cannabis use? Implications for drug policy development?

Cannabis Use in Australia

Cannabis and Alcohol Substitutes or Complements?

Cannabis and Alcohol Substitutes?
Decriminalisation of cannabis found to reduce alcohol use Alcohol use is positively related to wholesale price of cannabis higher(prenominal) drinking ages have positive effect on cannabis participation
BL 0

Cannabis

U=100

Alcohol

Cannabis and Alcohol Substitutes?

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Studies found: Decriminalisation of cannabis found to reduce alcohol use Alcohol use is positively related to wholesale price of cannabis higher(prenominal) drinking ages have positive effect on cannabis participation
Alcohol

Cannabis

PC
U=100

BL

0

Cannabis and Alcohol Substitutes?
Studies found: Decriminalisation of cannabis found to reduce alcohol use Alcohol use is positively related to wholesale price of cannabis Higher drinking ages have positive effect on cannabis participation
Alcohol

Cannabis

PC

BL

U=150

0

Cannabis and Alcohol Complements?
Studies also found:
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