Becker, Gary S.; Murphy, Kevin M.; Grossman, Michael - In: Revista de Economía Institucional 8 (2006) July-December, pp. 17-42
This paper considers the costs of reducing consumption of goods by making their production illegal and punishing illegal producers. We use illegal drugs as a prominent example. We show that the more inelastic either demand for or supply of goods is, the greater the increase in social cost from...
