Let's Be Business Brief

• Chad, do the research, the latest up-tick in Mexican cartels is coincidental with the US's furtive acceleration of the drug war. No question that what we are seeing is a turf war, but the Cola wars likewise feature a turf war, being they are legal products the war is not a literal one.

• "The consistent character of the drugs on the street indicate that the drug trade is run with a well organized corporate cartel. Drug prohibition laws are relaxing which is the best way to mitigate the problems with the "drug war."" I think the violence is a turf war or market war. I don't think the prohibition laws have anything to do with it. If every prohibition law disappeared tomorrow would the various cartels just go legit and stop killing each other and compete in a business market? I highly doubt it, more likely, they'll keep killing each other to keep permanently removing their competitors. Repealing the prohibition of drugs would stop the Mexican cartels about as much as repealing alcohol prohibition stopped organized crime here in the US. Which is to say not at all. I think the cartels flourish because of Mexican economics, politics, and the corruption in various Mexican government agencies not prohibition.

• Actually I would like to argue with Dick Fisher that we have a model for non-politicized gov't, that would be our courts/judiciary. You may snicker and say, of course our courts are politicized; and I can snicker and say, of course our Fed policy is politicized. The difference is that our judges, well paid and provided for are not paid nearly as lucratively as our federal reserve bankers like Mr Fisher. So, his argument here is very weak. We could indeed return the Federal Reserve Bank's dealings to the Treasury. Actually today, the Treasury executes the dictates of the Fed. As for mathematical models relating to the drug trade, here's all you need to know: we've ratcheted up the drug war, interceding in Mexican affairs. There are temptations to participate by all parties involved institutionally and personally. There is demand and supply meets it. The consistent character of the drugs on the street indicate that the drug trade is run with a well organized corporate cartel. Drug prohibition laws are relaxing which is the best way to mitigate the problems with the "drug war." With Obama trying to jigger some budget cuts seeking new sources of revenue, perhaps we'll see some real change here.

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