Which of the following statements is not correct concerning government attempts to reduce the flow of illegal drugs into the country?
A) Drug interdiction raises prices and total revenue in the drug market.
B) Drug interdiction can increase drug-related crime.
C) Drug interdiction shifts the demand curve for drugs to the left.
D) Drug interdiction shifts the supply curve of drugs to the left.

Question

Quizplus · Accepted Answer

Drug interdiction does not shift the demand curve for drugs to the left. Demand for drugs is largely driven by addiction, peer pressure, and other social and psychological factors, and it is unlikely to change significantly as a result of interdiction efforts. Interdiction primarily affects the supply of drugs, by disrupting production, transportation, and distribution channels.

Which of the Following Statements Is Not Correct Concerning Government