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Revista de Economía Institucional
Print version ISSN 0124-5996
Abstract
LOPEZ, Leonardo Raffo and SEGURA, José Luis. Drug trafficking networks and their interactions: a theoretical model. Rev.econ.inst. [online]. 2015, vol.17, n.32, pp.183-212. ISSN 0124-5996. https://doi.org/10.18601/01245996.v17n32.06.
This paper proposes a new theoretical model to understand how defence and corruption networks associated to drug trafficking operate. Based on game theory and social network theory strategic interactions between drug dealers and their agents are analyzed. The model shows that network density is a main determinant of the survival probability of drug dealers and of wages paid to their security agents; and that the efficacy of law enforcement policies depends on network density.
Keywords : drug trafficking; delinquent networks; illegal markets; game theory; social network theory; law enforcement.