User sanctions influence the legal risk for participants in illegal drug markets. A change in user sanctions may change retail drug prices, depending on how it changes the legal risk to users, how it changes the legal risk to dealers, and the slope of the supply curve. Using a novel dataset with...

We show that tax-induced increases in alcohol prices can lead to substantial substitution and avoidance behavior that limits reductions in alcohol consumption. Causal estimates are derived from a natural experiment in Illinois where spirits and wine taxes were raised sharply and unexpectedly in...

Preferences and attitudes to illicit drug policy held by individuals are likely to be an important influence in the development of illicit drug policy. Among the key factors impacting on an individual's preferences over substance use policy are their beliefs about the costs and benefits of drug...