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A Behavioral Economic Analysis of Polydrug Abuse in Heroin Addicts

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Author Info
Nancy M. Petry
Warren K. Bickel
Abstract

Polydrug abuse is common among substance abusers, but few empirical or theoretical methods accurately characterize this phenomenon. This chapter describes a simulation paradigm that was developed to apply a behavioral economic analysis to understanding polydrug abuse. Heroin abusers 'purchased' drugs as the price of drugs or income varied. In Experiment 1, heroin price rose while prices of other drugs and income remained constant. Heroin purchases significantly decreased as heroin prices increased. As price of heroin rose, valium and cocaine purchases increased and cross-price elasticity coefficients indicated these drugs substituted for heroin. In Experiment 2, prices of both heroin and valium increased separately to determine symmetry of the substitution effect. While valium substituted for heroin, heroin purchases were independent of valium prices. Marijuana and alcohol purchases were independent of valium price, but both these drugs were weak substitutes for heroin. In Experiment 3, income rose while prices remained constant. At some changes in income, demand for heroin and cocaine was income elastic, with purchases rising in greater proportion than income. Marijuana, alcohol, and valium purchases did not vary significantly as a function of income. Choices in this simulation were reliable both between and within subjects. Moreover, drug choices in the simulation were correlated with drug use as determined by urinanalysis testing. These results are discussed in terms of the utility of a behavioral economics approach for characterizing polydrug abuse.

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Paper provided by National Bureau of Economic Research, Inc in its series NBER Working Papers with number 6415.

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Date of creation: Feb 1998
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Publication status: published as Nancy M. Petry, Warren K. Bickel. "A Behavioral Economic Analysis of Polydrug Abuse in Heroin Addicts," in Frank J. Chaloupka, Michael Grossman, Warren K. Bickel and Henry Saffer, editors, "The Economic Analysis of Substance Use and Abuse: An Integration of Econometrics and Behavioral Economic Research" University of Chicago Press (1999)
Handle: RePEc:nbr:nberwo:6415

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Please report citation or reference errors to , or , if you are the registered author of the cited work, log in to your RePEc Author Service profile, click on "citations" and make appropriate adjustments.:
  1. Douglas Coate & Michael Grossman, 1988. "Effects of Alcoholic Beverage Prices and Legal Drinking Ages on Youth Alcohol Use," NBER Working Papers 1852, National Bureau of Economic Research, Inc. [Downloadable!] (restricted)
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  2. Gary S. Becker & Michael Grossman & Kevin M. Murphy, 1994. "An Empirical Analysis of Cigarette Addiction," NBER Working Papers 3322, National Bureau of Economic Research, Inc. [Downloadable!] (restricted)
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  3. Frank J. Chaloupka & Adit Laixuthai, 1997. "Do Youths Substitute Alcohol and Marijuana? Some Econometric Evidence," Eastern Economic Journal, Eastern Economic Association, vol. 23(3), pages 253-276, Summer. [Downloadable!]
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  4. Henry Saffer & Frank Chaloupka, 1995. "The Demand for Illicit Drugs," NBER Working Papers 5238, National Bureau of Economic Research, Inc. [Downloadable!] (restricted)
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  5. Silverman, Lester P. & Spruill, Nancy L., 1977. "Urban crime and the price of heroin," Journal of Urban Economics, Elsevier, vol. 4(1), pages 80-103, January. [Downloadable!] (restricted)
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