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Going after the Addiction, Not the Addicted: The Impact of Drug Decriminalization in Portugal

Author

Listed:
  • Félix, Sónia

    (Banco de Portugal)

  • Portugal, Pedro

    (Banco de Portugal)

  • Tavares, Ana

    (Universidade Nova de Lisboa)

Abstract

This paper investigates the impact of drug decriminalization in Portugal using the Synthetic Control Method. The applied econometric methodology compares Portuguese drug-related variables with the ones extracted from a convex combination of similar European countries. The results suggest that a policy change implemented in Portugal contributed to a decrease in the number of heroine and cocaine seizures, a decrease in the number of offenses and drug-related deaths, and a decrease in the number of clients entering treatment. Moreover, the policy change contributed to a reduction in the incidence of drug addicts among HIV individuals.

Suggested Citation

  • Félix, Sónia & Portugal, Pedro & Tavares, Ana, 2017. "Going after the Addiction, Not the Addicted: The Impact of Drug Decriminalization in Portugal," IZA Discussion Papers 10895, Institute of Labor Economics (IZA).
    • Handle: RePEc:iza:izadps:dp10895
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    References listed on IDEAS

    as
    1. Jan Ours & Stephen Pudney, 2006. "On the Economics of Illicit Drugs," De Economist, Springer, vol. 154(4), pages 483-490, December.
    2. Alberto Abadie & Javier Gardeazabal, 2003. "The Economic Costs of Conflict: A Case Study of the Basque Country," American Economic Review, American Economic Association, vol. 93(1), pages 113-132, March.
    3. Reinarman, C. & Cohen, P.D.A. & Kaal, H.L., 2004. "The Limited Relevance of Drug Policy: Cannabis in Amsterdam and in San Francisco," American Journal of Public Health, American Public Health Association, vol. 94(5), pages 836-842.
    4. Abadie, Alberto & Diamond, Alexis & Hainmueller, Jens, 2010. "Synthetic Control Methods for Comparative Case Studies: Estimating the Effect of California’s Tobacco Control Program," Journal of the American Statistical Association, American Statistical Association, vol. 105(490), pages 493-505.
    5. Félix, Sónia & Portugal, Pedro, 2015. "Drug Decriminalization and the Price of Illicit Drugs," IZA Discussion Papers 8848, Institute of Labor Economics (IZA).
    6. Becker, Gary S & Murphy, Kevin M, 1988. "A Theory of Rational Addiction," Journal of Political Economy, University of Chicago Press, vol. 96(4), pages 675-700, August.
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    Cited by:

    1. Lucas Marín Llanes & Hernando Zuleta, 2022. "Myths of drug consumption decriminalization: effects of Portuguese decriminalization on violent and drug use mortality," Documentos CEDE 20328, Universidad de los Andes, Facultad de Economía, CEDE.
    2. Bibek Adhikari, 2022. "A Guide to Using the Synthetic Control Method to Quantify the Effects of Shocks, Policies, and Shocking Policies," The American Economist, Sage Publications, vol. 67(1), pages 46-63, March.
    3. Noah Spencer, 2022. "Does decriminalization cause more drug overdose deaths? Evidence from Oregon Measure 110," Working Papers tecipa-745, University of Toronto, Department of Economics.

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    More about this item

    Keywords

    drug decriminalization policy; illicit drugs; synthetic control method;
    All these keywords.

    JEL classification:

    • C21 - Mathematical and Quantitative Methods - - Single Equation Models; Single Variables - - - Cross-Sectional Models; Spatial Models; Treatment Effect Models
    • D04 - Microeconomics - - General - - - Microeconomic Policy: Formulation; Implementation; Evaluation
    • K42 - Law and Economics - - Legal Procedure, the Legal System, and Illegal Behavior - - - Illegal Behavior and the Enforcement of Law

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