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Mexican army seizes 15 tons of crystal meth worth $4 billion.

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Zzoram

Member
The problem for drug cartels is that they inevitably want to scale up their business to make more money, but in doing so they have to centralize their production and risk getting busted like this.
 

Stet

Banned
This is probably a naive question but....what does the government do with the drugs they acquire from these people? If they properly destroy it (which I doubt), wouldn't that technically hurt the economy? $4 billion is a lot of money.

Not sure 15 tons of an illegal substance made in Mexico and sold for cash in the U.S. really does anything for either economy.
 

gabbo

Member
This is probably a naive question but....what does the government do with the drugs they acquire from these people? If they properly destroy it (which I doubt), wouldn't that technically hurt the economy? $4 billion is a lot of money.

It only hurts the black market economy. That 4 billion wouldn't end up being taxed or the like.
 

Stinkles

Clothed, sober, cooperative
A lot of heads will roll after this.



oqCj2.jpg
 

poppabk

Cheeks Spread for Digital Only Future
If it would be valued at 4 billion on the street in the US then how is it not valued at 4 billion? I'm sure they had every intention in the world to sale it in the US.
Because the main value comes from it being available for people to buy it. That meth was made knowing a large percentage would never reach buyers and that a lot of people would take a cut along the way. Drugs on the streets have the cost of every middleman, bribe and loss to theft, seizures etc built in.
 

Al-ibn Kermit

Junior Member
I assume most people know that a significant fraction will get seized by authorities eventually and that there's several middle men taking a cut.
 

mf.luder

Member
Uhoh, I can already hear the dump trucks in reverse.

Interesting that the military did this. I recall reading that the military is a lot less corrupt than the police.
 

ChiTownBuffalo

Either I made up lies about the Boston Bomber or I fell for someone else's crap. Either way, I have absolutely no credibility and you should never pay any attention to anything I say, no matter what the context. Perm me if I claim to be an insider
The meth market must occupy a broad range. People wanting to buy this pure stuff and retards who "shake & bake" meth in a single jug.
 

Utako

Banned
ISTR a few separate incidents where US feds dismantled factories producing some of the precursor ingredients for LSD and individual busts effectively dried up the whole continent for a while.

It's remarkable to me that any drug would be being produced on such a centralized basis that a single bust could disrupt supply. You'd think cartels and dealers would have a more robust system. That's really the remarkable thing to me here.

I thought the same thing.

"Idiots shouldn't have kept 15 tons in one spot."
 
Not sure 15 tons of an illegal substance made in Mexico and sold for cash in the U.S. really does anything for either economy.

It only hurts the black market economy. That 4 billion wouldn't end up being taxed or the like.

Because we all know the velocity of money is zero in this situation... They're not doing this to acquire material goods, they just want to stack money under their mattresses and keep it out of the economy.
 

Stet

Banned
Because we all know the velocity of money is zero in this situation... They're not doing this to acquire material goods, they just want to stack money under their mattresses and keep it out of the economy.

It's not like people who spend money on drugs are going to hoard their money if the drugs aren't available. Whether the money belongs to them or it belongs to the manufacturers, it's still part of the economy. In an illegal transaction, it just moves from one hand to another. It's not taxed and it's not tracked. No money was destroyed by this shipment being seized.
 
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