Helping addicts: When can trying to do good be dysfunctional?
摘要
We integrate a dynamic model of addiction with a dynamic model of imperfect altruism to examine help for addicts. Help for the addict is a public good that reduces the rate of addiction, and addiction emits an externality that negatively impacts those who might help. Our model suggests help that reduces addiction for one person can dysfunctionally increase addiction for another who has different preferences. Although an increase in the number of available helpers reduces addiction when there is little congestion, it can create a free rider problem that dysfunctionally eliminates private help when congestion sufficiently reduces the marginal utility of helping. Increasing the government provision of help can dysfunctionally increase addiction when it crowds out private help provision that is more efficient. In general, our model indicates that effectively addressing addiction is context-dependent, which aligns with the literature on addiction treatment.