Nonlinear Dynamics, Psychology, and Life Sciences, Vol. 8, Iss. 3, Jul, 2004, pp. 375-401
@2004 Society for Chaos Theory in Psychology & Life Sciences

 
A Model of Chaotic Drug Markets and Their Control

Doris A. Behrens, University of Klagenfurt Vienna University of Technology, Austria
Jonathan P. Caulkins, Carnegie Mellon University RAND, Pittsburgh, USA
Gustav Feichtinger, Vienna University of Technology, Austria

Abstract: This paper explores the idea that drug markets may be chaotic in a mathematical sense by considering a discrete-time model of populations of drug users and drug sellers for which initiation into either population is a function of relative numbers of both populations. The structure of the system follows that considered in an arms control context by Behrens, Feichtinger and Prskawetz (Behrens D.A., Feichtinger G., Prskawetz A. (1997). Complex Dynamics and Control of Arms Race. European Journal of Operations Research, 100, 192-215). The model presented in this paper summarizes prerequisites for possible chaotic behavior of the number of addicts and drug dealers frequenting a local drug market. Interestingly, even if the uncontrolled market dynamics do not exhibit chaotic patterns, a static intervention like removing a constant fraction of addicts each time period can easily create chaos - but even if static control would create chaos, dynamic controls can be crafted that avoid it. Especially OGY controls seem to work well for this example.

Keywords: drug markets, static and dynamic drug control policies, nonlinear, chaos, OGY control