Economic Correlates of Drug



The Economic Correlates of Drug Use-Summary

Student’s name

Institutional affiliation

The Economic Correlates of Drug Use-Summary

Chapter nine delves into the drug trade business and its impact on economies. During the crack epidemic, it is estimated that Americans spent up to $140 billion n illegal business. Worth noting, both legal and illicit drugs have a profound impact on economies. Legal drugs such as tobacco and alcohol have effects including retail sales, tax revenues, healthcare costs, and employer liabilities like absenteeism. The text also highlights the steps involved in approving new drugs by the Food and Drug Administration (FDA), including pre-clinical research, synthesis and purification, animal testing, institutional review boards, clinical studies, and NDA review. Worth noting, despite the contribution of the drug trade to economies, it is almost impossible to measure the amount of drug sales worldwide because of inconsistencies in reporting methodologies.

Internationally, cocaine is primarily grown in the Andes Mountains and is part of Peru, Colombia, and Bolivia economies, and many people are dependent on coca production for survival. The social and economic cost of producing heroin is similar to that of producing cocaine. The largest producers of opium are Myanmar, Afghanistan, and Laos. Up to 1969, Mexico was the main producer of American marijuana. The cannabis plant can be found in many countries. The health costs associated with drug use are rife, and they comprise 6% of overall societal issues. HIV/AIDS and loss of productivity is among the most sobering health consequence of drug use. Although alcoholism affects both men and women, women are severely affected economically more than men. The underground economy of illicit drugs occurs in various production and distribution phases, including crop cultivation, manufacture, exportation or importation, wholesale distribution, and retail distribution. Employees that use drugs miss more workdays than drug nonusers and are at higher risk for on-the-job accidents. An inverse relationship exists between the size of the workplace and the likelihood of employees using drugs. The probability of drug and alcohol use varies according to the occupation. Factors including job stress, job satisfaction, and sense of powerlessness in relation to work impacts drug use.

Summary of Article Relating to Chapter 9

How Illicit Drug Use Affects Business and the Economy.

Published on the Obama white house archives government website, the article centers on how illicit drug use affects business and the economy. The text notes that the business community and the federal government are increasingly recognizing that substance abuse has negative consequences on the U.S. economy and the nation’s workforce. If left untreated, drug abuse can be costly for society as it can be a burden to our health care system, the workplace, and the community. In 2007, the economic cost of drug abuse in the United States was $193 billion, with $120 billion accounting for lost productivity, $61 billion criminal justice costs and $11 billion healthcare costs (“How Illicit Drug Use Affects Business and the Economy,” 2021). Regarding the labor force, 8% of full-time workers above 18 years reported using an illicit drug in 2009. Noteworthy, 17% of unemployed workers were likely to report drug abuse in 20019. Drug abuse leads to absenteeism and high turnover. Full-time workers that use drugs are twice more likely to skip working days than non-users. The article also mentions that drug use affects drug performance. Compared to students who don’t use marijuana, students who use marijuana are twice as likely to score an average of A in their academic performance. Additionally, college students who use prescription drugs for non-medical purposes report low grades and are more likely to use illicit drugs and drink heavily. This article relates to the text in chapter nine in various ways. Both texts agree that drug abuse has serious consequences for the economy, including absenteeism and reduced labor force. Additionally, both texts mention that the cost of drug abuse in the United States has been skyrocketing over the years. By partaking in drug abuse, productivity is reduced because of premature deaths, incarceration, and the high cost of drug treatment. My thoughts on the matter are that there is a need to undertake mass education and behavior change if we want to address drug abuse. Additionally, telling students not to abuse drugs is not enough, members of society should set a good example that young people can follow.

References

How Illicit Drug Use Affects Business and the Economy. (2021). Retrieved 13 November 2021, from https://obamawhitehouse.archives.gov/ondcp/ondcp-fact-sheets/how-illicit-drug-use-affects-business-and-the-economy