How the value of illegal goods or substances such as cocaine is determined by the government when they confiscate it

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I sort of assumed that if something is illegal to buy or sell the goverment would deem it to have no value within their economy

In: Economics

3 Answers

Anonymous 0 Comments

It’s usually determined by “street value,” as in how much money you’d need to buy an equivalent amount from a dealer.

Obviously it’s all illegal and the people involved try to keep it down, but junkies still need their fix so the law of supply and demand applies.

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