Cocaine Production and Trafficking: What do we know?
The main purpose of this chapter is to summarize the information currently available oncocaine production and trafficking. The chapter starts by describing the available dataon cocaine production and trade, the collection methodologies, (if available) used bydifferent sources, the main biases in the data, and the accuracy of different data sources.Next, the chapter states some of the key empirical questions and hypotheses regardingcocaine production and trade and takes a first look at how well the data matches thesehypotheses. Also, the chapter states some of the main puzzles in the cocaine market andstudies some of the possible explanations. These puzzles and empirical questions shouldguide future research into our understanding of the key determinants of illicit drugproduction and trafficking. Finally, the chapter studies the different policies thatproducer countries have adopted to fight against cocaine production and the roleconsumer countries play in the implementation of anti-drug policies.
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National Bureau of Economic Research, Inc.
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