Some Observers Have Claimed That, in Economic Size, the Drug

question 6

Essay

Some observers have claimed that, in economic size, the drug trade is more lucrative than General Motors, more than the entire legal U.S. farm industry-in fact, the biggest industry on the earth. Is this true? Cite some facts and figures to address this claim.

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Definitions:

Compensating Balances

Minimum balance requirements imposed by banks on corporate customers in exchange for banking services or loans.

Trust Receipts

Documents acknowledging the receipt of goods by a trustee while detailing the terms of an agreement for selling or holding the goods.

Collateral

An asset backing a loan. In the event of default the collateral becomes the property of the lender to satisfy the obligation. Also called security for the loan.

Public Warehouses

Warehousing facilities operated by third parties that offer storage and handling services to the public for a fee.