Does Illegal stuff, such as Illicit drugs, illegal weapons, etc. contribute to a country's economic wealth?

Question

The Black Market and Illegal drug Market has profits of over 200 million dollars. But does the trading of thse Illicit things in a country contributes to a country's economic wealth? Does the money from the selling of Illicit drugs in a country, contirbute to a country's economy. Please show sources.

Answer 1

In theory, yes. Because those who profit from organised crime spend the money, providing profit for the companies supplying the goods.

However, gevernment tax revenues do not benefit from organised crime, as they would the legal economy. Because criminals do not pay tax on their profits.

Answer 2

While the money spent in illicit trades do not contribute to the national economy by raising the GDP,it could be said that the money raised from this filters its way back into the ligitimate economy. However, much of this money must be considered disposable income by the end users, the drug users. With this in mind, without illicit trade markets much of this supposed disposable income would be spent in legal, tax paying industries such a s tabbaco, alchol, and legal gambaling. Without black markets, some portion of the billions of dollars spent in them would find its way into legit markets, thus raising the GDP.

Answer 3

dont need sources. Its on television everyday.