NCJ Number
188800
Journal
Criminal Justice Policy Review Volume: 12 Issue: 1 Dated: March 2001 Pages: 3-25
Date Published
March 2001
Length
23 pages
Annotation
This article considers reducing the use of small-denomination paper currency as the focus of supply-reduction drug policy.
Abstract
Efforts to impede the supply of illegal drugs and the laundering of illegal drug money have been largely ineffective. This article proposes that supply-reduction drug policy concentrate on impeding the reintroduction into the banking system of the large volumes of small-denomination paper currency generated in street-level drug sales. The article discusses the current drug policy debate, which is predominantly focused on the cost and effectiveness of the supply-reduction polices of the war on drugs. It discusses current laws and regulations on money laundering. The article proposes that government resources be concentrated on the point where large volumes of small-denomination paper currency generated by street-level drug sales are reintroduced into the legitimate financial system. It claims that stopping the flow of illegal drug money at this single point would have the effect of stopping the entire flow of illegal drugs and illegal drug money. It further claims that the policy would incur fewer human costs than current supply-reduction policies or proposed policies to legalize at least some currently illegal drugs. Finally, the article discusses objections to and limitations of the proposed policy. References