Dynamic Drug Policy: Optimally Varying the Mix of Treatment, Price-Raising Enforcement, and Primary Prevention Over Time

A central question in drug policy is how control efforts should be divided among enforcement, treatment, and prevention. Of particular interest is how the mix should vary dynamically over the course of an epidemic. Recent work considered how various pairs of these interventions interact. This paper considers all three simultaneously in a dynamic optimal control framework, yielding some surprising results. Depending on epidemic parameters, one of three situations pertains. It may be optimal to eradicate the epidemic, to ”accommodate” it by letting it grow, or to eradicate if control begins before drug use passes a DNSS threshold but accommodate if control begins later. Relatively modest changes in parameters such as the perceived social cost per unit of drug use can push the model from one regime to another, perhaps explaining why opinions concerning proper policy diverge so sharply. If eradication is pursued, then treatment and enforcement should be funded very aggressively to reduce use as quickly as possible. If accomodation is pursued then spending on all three controls should increase roughly linearly but less than proportionally with the size of the epidemic. With the current parameterization, optimal spending on prevention varies the least among the three types of control interventions. ∗Corresponding author. Address: Wiedner Hauptstr. 8/105-4, A-1040 Wien, Austria. Email: [email protected]. Fax: +43-1-58801-910542. Phone: +43-1-5880110542.