Dynamic Drug Policy: Optimally Varying the Mix of Treatment, Price-Raising Enforcement, and Primary Prevention Over Time

Jonathan P. Caulkins and Gernot Tragler ()
Additional contact information
Jonathan P. Caulkins: Carnegie Mellon University
Gernot Tragler: TU Wien

A chapter in Dynamic Perspectives on Managerial Decision Making, 2016, pp 11-35 from Springer

Abstract: Abstract A central question in drug policy is how control efforts should be divided among enforcement, treatment, and prevention. Of particular interest is how the mix should vary dynamically over the course of an epidemic. Recent work considered how various pairs of these interventions interact. This paper considers all three simultaneously in a dynamic optimal control framework, yielding some surprising results. Depending on epidemic parameters, one of three situations pertains. It may be optimal to eradicate the epidemic, to “accommodate” it by letting it grow, or to eradicate if control begins before drug use passes a DNSS threshold but accommodate if control begins later. Relatively modest changes in parameters such as the perceived social cost per unit of drug use can push the model from one regime to another, perhaps explaining why opinions concerning proper policy diverge so sharply. If eradication is pursued, then treatment and enforcement should be funded very aggressively to reduce use as quickly as possible. If accommodation is pursued then spending on all three controls should increase roughly linearly but less than proportionally with the size of the epidemic. With the current parameterization, optimal spending on prevention varies the least among the three types of control interventions.

Keywords: Dynamic programming/optimal control: applications to drug policy; Judicial/legal: crime and drug policy (search for similar items in EconPapers)
Date: 2016
References: Add references at CitEc
Citations:

There are no downloads for this item, see the EconPapers FAQ for hints about obtaining it.

Related works:
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: https://EconPapers.repec.org/RePEc:spr:dymchp:978-3-319-39120-5_2

Ordering information: This item can be ordered from
http://www.springer.com/9783319391205

DOI: 10.1007/978-3-319-39120-5_2

Access Statistics for this chapter

More chapters in Dynamic Modeling and Econometrics in Economics and Finance from Springer
Bibliographic data for series maintained by Sonal Shukla () and Springer Nature Abstracting and Indexing ().