The Economics of Drug Dealing in Washington, D.C.

The Economics of Drug Dealing in Washington, D.C.

PI: Peter Reuter

Funded by: Rockefeller Foundation

RAND examined the role of drug selling in the economic life of people at risk of long-term poverty, specifically young men in Washington, D.C. Drawing on data provided by the District of Columbia Pretrial Services Agency and interviews with probationers, the researchers estimated the number of people involved in the street market, described their characteristics, and learned how much they earn from selling drugs. The study examines how adolescents in high-risk areas view drug selling, and it draws conclusions about why people sell drugs and how much they earn. The study's findings dispel some of the mythology of the drug marketplace – for example, approximately two-thirds of the drug dealers reported being legitimately employed at the time of their arrest. The study concluded that the goal of drug abuse prevention will be best served by exploring ways to reduce demand in street markets and deter young men from selling drugs.