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Strategies & Market Trends : ahhaha's ahs
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To: ahhaha who wrote (3561)11/16/2001 12:07:20 PM
From: GraceZRead Replies (2) of 24758
 
There's the rub. Business is very difficult to practice in an environment where you live in fear of your personal safety. The reason the drug dealers can still do it is because the return is so high even after you account for the risks. If you look at the exodus of businesses from high crime areas you can see that legal capital flows out of an environment where security is a growing concern. Even the impression of rising crime will cause an exodus. In Baltimore City the largest outflow occurred during a time when crime rates were actually falling after going through a period of escalation. There's a lagged effect.

There are always going to be people who find it worthwhile and the risk manageble in an environment where you have to hire ex-KGB body guards, as well as knowing who you have to pay protection money. To me it doesn't look all that different from having to travel around with your well armed "homies" and paying off the local narc. Neither looks attractive to me.
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