Counterproductive Counternarcotic Strategies?
We model the economic incentives surrounding opium crop production in Afghanistan. Specifically, we examine the impact of eradication policies when opium is used as a means of obtaining credit, and when the crops are produced in sharecropping arrangements. The analysis suggests that when perfect credit markets are available, an increased risk of eradication will lead to less land being allocated to opium poppy. However, when opium is used as a means of obtaining credit, the effects of eradication are no longer clear-cut. Finally, under sharecropping arrangements, increased risk of eradication will make the tenants worse off, while landlords may benefit.
|Date of creation:||Nov 2011|
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- Ibanez, Marcela & Carlsson, Fredrik, 2010.
"A survey-based choice experiment on coca cultivation,"
Journal of Development Economics,
Elsevier, vol. 93(2), pages 249-263, November.
- Marcela Ibanez & Fredrik Carlsson, 2009. "A survey-based choice experiment on coca cultivation," Courant Research Centre: Poverty, Equity and Growth - Discussion Papers 17, Courant Research Centre PEG.
- Steve Boucher & Catherine Guirkinger, 2007.
"Risk, Wealth, and Sectoral Choice in Rural Credit Markets,"
American Journal of Agricultural Economics,
Agricultural and Applied Economics Association, vol. 89(4), pages 991-1004.
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- Jeffrey Clemens, 2008. "Opium in Afghanistan: Prospects for the Success of Source Country Drug Control Policies," Journal of Law and Economics, University of Chicago Press, vol. 51(3), pages 407-432, 08.
- Braverman, Avishay & Stiglitz, Joseph E., 1986. "Landlords, tenants and technological innovations," Journal of Development Economics, Elsevier, vol. 23(2), pages 313-332, October.
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