Estimating the profits of organized crime from the drug trade over the past 37 years (1988 - 2024)
In 1988, the revenues from drugs were $124 billion.[1] In 1997, the revenues from drugs were $400 billion.[2] In 2003, the revenues from drugs were $321.6 billion.[3] In 2014, the revenues from drugs were between $426 and $652 billion [4] (average of $539 billion).
We consider that the annual drug production costs are $20 billion,[5] the remaining are profits.
We consider that in 1988 the profits from drugs were $104 billion, in 1997 the profits were $380 billion, in 2003 the profits were $301 billion, and after 2014 the profits were $519 billion. Linearly interpolating the missing values gives a total profit of $14,232 billion,[6] from 1988 to 2024.
We consider that the annual drug production costs are $20 billion,[5] the remaining are profits.
We consider that in 1988 the profits from drugs were $104 billion, in 1997 the profits were $380 billion, in 2003 the profits were $301 billion, and after 2014 the profits were $519 billion. Linearly interpolating the missing values gives a total profit of $14,232 billion,[6] from 1988 to 2024.
Taking inflation into account:[7] drug revenues of $124 billion in (December) 1988 would be equivalent to $326 billion in January 2025, drug revenues of $400 billion in 1997 would be equivalent to $787 billion in 2025, drug revenues of $321.6 billion in 2003 would be equivalent to $554 billion in 2025, drug revenues of $539 billion in 2014 would be equivalent to $729 billion in 2025. Linearly interpolating the missing values gives a total revenue of $23,905 billion,[8] from 1988 to 2024. 70% [9] of these revenues are profits available for investment: $23,905 x 70% = $16,733 billion.
Estimated wealth of organized crime from drug trafficking alone in the period 1988-2024
We consider that 70% of drug revenues are available for investment. In 1988, profits available for investment were $85 billion, in 1997 were $280 billion (400 x 70%), in 2003 were $225.12 billion (321.6 x 70%), after 2014 were $298.20 billion (426 x 70%). By linearly interpolating the missing values and investing the profits (S&P 500 [10]) we obtain total amounts of $75,993 billion,[11] as of December 2024. At the end of 2024, the market capitalization of the S&P 500 was $49,810 billion.[12] Because invested profits are greater than the market capitalization, this means that by 2024, organized crime would have had the opportunity to buy all 500 companies in the S&P 500.
Estimate the wealth of organized crime over the period 1990 - 2019
In order to determine the size of the profits obtained by organized crime, we start from the estimated value by the United Nations Office on Drugs and Crime (UNODC): "The UNODC report estimates that the total amount of criminal proceeds generated in 2009, excluding those derived from tax evasion, may have been approximately $2.1 trillion, or 3.6 per cent of GDP in that year (2.3 to 5.5 per cent).".[13]
We consider that the proceeds from drugs are (between 2009-2019), on an average, $400 billion annually, of which 360 billion are profits (profit margin 90%).[14] Profits from human trafficking are $150 billion annually.[15] In order to determine the profits from the remaining illegal activities of $1,550 billion (2,100 - 400 (drugs) - 150 (human trafficking)), we consider that the profitability of illegal activities is at least equal to the most profitable legal activity. Saudi Aramco Company has achieved incomes in the amount of $355,905 billion, of which profits total $110,974 billion (31.25%).[16] With a profit margin of 30%, we obtain annual profits for the remaining illegal activities in the amount of $465 billion (1,550 x 30%). On an annual basis, the profits of organized crime amount to $975 billion (360 (drugs) + 150 (human trafficking) + 465 (other activities)).
We assume that in 1989 the profits of organized crime were 0 and that the profits grew linearly so that in 2009 they reached $975 billion. We consider that the level of profits in 2010–2019 has remained constant ($975 billion).[17]
Drug traffic is among the most profitable human activities. We can consider that organized crime is made up of good business people who want to increase their personal wealth. Fortune, in general, increases with time. Money brings interest, businesses bring dividends, buildings bring rents, land brings leases, etc.
Global wealth grew by an average of 6.6 percent annually between 2000 and 2019.[18] If organized crime had chosen to invest in the S&P 500, then wealth would have grown at an average annual rate of about 10 percent.[19] Because we do not know what the organized crime exchanged the profits for, we consider that the profits were turned into wealth, which increased by 2%, 3%, 4%, or 5% annually.
Under the circumstances in which we considered that organized crime was nonexistent before 1989 and that the wealth increases annually by less than 6.6 percentage points, we get that, over the period 1990–2019, the estimated profits of organized crime amount to $19,987.50 billion, while the dark wealth is between US$ 24,888.66 and 35,640.14 billion.[20]
For a profit margin of 20% for the remaining illegal activities, we get annual profits of $820 billion. Over a period of 30 years, the estimated profits of organized crime amount to $16,810.00 billion, while the dark wealth is between US$ 20,931.99 and 29,974.28 billion.[21]
For a profit margin of 10% for the remaining illegal activities, we get annual profits of $665 billion. Over a period of 30 years, the estimated profits of organized crime amount to $13,632.50 billion, while the dark wealth is between US$ 16,975.31 and 24,308.39 billion.[22]
The dark wealth over a period of 30 years (1990 - 2019) is between 9.80 (16,975.31) and 20.57 (35,640.14) percent of the accumulated wealth of those who have more than 1 million dollars ($173,300 billion).[23]
Estimate of the wealth of the organized crime over the last 60 years (1960 - 2019)
We consider that 70% of drug revenues are available for investment. In 1988, profits available for investment were $85 billion, in 1997 were $280 billion (400 x 70%), in 2003 were $225.12 billion (321.6 x 70%), after 2014 were $298.20 billion (426 x 70%). By linearly interpolating the missing values and investing the profits (S&P 500 [10]) we obtain total amounts of $75,993 billion,[11] as of December 2024. At the end of 2024, the market capitalization of the S&P 500 was $49,810 billion.[12] Because invested profits are greater than the market capitalization, this means that by 2024, organized crime would have had the opportunity to buy all 500 companies in the S&P 500.
Estimate the wealth of organized crime over the period 1990 - 2019
In order to determine the size of the profits obtained by organized crime, we start from the estimated value by the United Nations Office on Drugs and Crime (UNODC): "The UNODC report estimates that the total amount of criminal proceeds generated in 2009, excluding those derived from tax evasion, may have been approximately $2.1 trillion, or 3.6 per cent of GDP in that year (2.3 to 5.5 per cent).".[13]
We consider that the proceeds from drugs are (between 2009-2019), on an average, $400 billion annually, of which 360 billion are profits (profit margin 90%).[14] Profits from human trafficking are $150 billion annually.[15] In order to determine the profits from the remaining illegal activities of $1,550 billion (2,100 - 400 (drugs) - 150 (human trafficking)), we consider that the profitability of illegal activities is at least equal to the most profitable legal activity. Saudi Aramco Company has achieved incomes in the amount of $355,905 billion, of which profits total $110,974 billion (31.25%).[16] With a profit margin of 30%, we obtain annual profits for the remaining illegal activities in the amount of $465 billion (1,550 x 30%). On an annual basis, the profits of organized crime amount to $975 billion (360 (drugs) + 150 (human trafficking) + 465 (other activities)).
We assume that in 1989 the profits of organized crime were 0 and that the profits grew linearly so that in 2009 they reached $975 billion. We consider that the level of profits in 2010–2019 has remained constant ($975 billion).[17]
Drug traffic is among the most profitable human activities. We can consider that organized crime is made up of good business people who want to increase their personal wealth. Fortune, in general, increases with time. Money brings interest, businesses bring dividends, buildings bring rents, land brings leases, etc.
Global wealth grew by an average of 6.6 percent annually between 2000 and 2019.[18] If organized crime had chosen to invest in the S&P 500, then wealth would have grown at an average annual rate of about 10 percent.[19] Because we do not know what the organized crime exchanged the profits for, we consider that the profits were turned into wealth, which increased by 2%, 3%, 4%, or 5% annually.
Under the circumstances in which we considered that organized crime was nonexistent before 1989 and that the wealth increases annually by less than 6.6 percentage points, we get that, over the period 1990–2019, the estimated profits of organized crime amount to $19,987.50 billion, while the dark wealth is between US$ 24,888.66 and 35,640.14 billion.[20]
For a profit margin of 20% for the remaining illegal activities, we get annual profits of $820 billion. Over a period of 30 years, the estimated profits of organized crime amount to $16,810.00 billion, while the dark wealth is between US$ 20,931.99 and 29,974.28 billion.[21]
For a profit margin of 10% for the remaining illegal activities, we get annual profits of $665 billion. Over a period of 30 years, the estimated profits of organized crime amount to $13,632.50 billion, while the dark wealth is between US$ 16,975.31 and 24,308.39 billion.[22]
The dark wealth over a period of 30 years (1990 - 2019) is between 9.80 (16,975.31) and 20.57 (35,640.14) percent of the accumulated wealth of those who have more than 1 million dollars ($173,300 billion).[23]
Estimate of the wealth of the organized crime over the last 60 years (1960 - 2019)
For 100 dollars, with an annual increase of 4%, 1,052 dollars would be obtained 60 years later. For longer periods of time, it is very important where organized crime decided to invest the profits obtained. Even though the profits were much smaller than the ones achieved at present, investing profits generates very large amounts over time.
Considering that the profits before 2009 were 1% of the global GDP,[24] and $665 billion after 2009, we obtain a wealth between $33,969.34 (growth rate 4% [25]) and $69,927.61 billion.[26]
The long-term annual growth rate of the S&P 500 is approximately 10%.[27] At an 8% growth rate, organized crime's wealth is $92,267 billion. The market capitalization of all public companies in 2019 was approximately $78,826 billion.[28] Organized crime would have had the opportunity to buy all public companies in the world.
By doubling the period, we obtain nearly double the wealth ($69,927.61 billion - growth rate 7%).[29] Continuing this trend, in 100 years or even more, the wealth of organized crime will exceed half of the accumulated fortune of those who have more than 1 million dollars. Surely, more than half of the accumulated fortune of those who have more than 1 million dollars does not belong to organized crime. We have reached a contradiction with reality because we started from the false assumption that illegal profits accumulate in the private wealth of organized crime when, in fact, most of them are spent by the state. All these calculations confirm what was logical: if there is a very large and profitable business, then this will dominate the economy. Drug trafficking is unlike any legal industry. Legal industries obtain high profits but are forced to spend a significant part of them on research/development in order to keep their competitiveness on the market. Criminals, from the money earned from drug trafficking, do not spend tens of billions of dollars every year to discover new drugs or extend laboratories. If the annual profits of hundreds of billions of dollars were kept in the possession of organized crime, these would be invested in the real economy, these investments would generate more profits to be invested and so on, until organized crime would own national economies, the global economy, and even most of the global wealth.
In the long term, the legal profits of the organized crime obtained by investing laundered money are at least equal to the profits obtained from illegal activities (profits from illegal activities over the past 60 years = $16,475.90 billion, legal profits (growth rate 4%) = $33,969.34 - $16,475.90 = $17,493.44 billion). The total annual profits of organized crime are at least twice as much as the profits from illegal activities. Taking into account only the profits from drugs (360 billion) and human trafficking (150 billion), it turns out that the total annual profits of organized crime exceed 1,000 billion dollars (double the amount of $510 billion = 360 + 150). In the last 30 years, organized crime has gained approximately 30,000 (30 years x 1,000) billion dollars, almost a third of the global market capitalization.
Plausible estimate of the organized crime’s profits
Considering that the structure of the organized crime at world level is similar to that of the Black Disciple network,[30] for 5,000 soldiers, there are 300 officers, 100 leaders and 20 directors (bosses). We have one boss to approximately 270 individuals, who earn $500,000 annually.
At world level, for 3.3 million members of the organized crime [31] there would be approximately 12,200 bosses. The profits of the organized crime during the past 70 years are 70(years) x 12,200(bosses) x 500,000 = $427 billion. We note that all the plausible profits of organized crime in the past 70 years, of $427 billion, are approximately half of the profits of a single year and that all the 12,200 bosses should be billionaires in dollars.
Dark state versus dark wealth
Depending on whether the state is involved or not in illegal activities, we have two options: either there is a dark state and no dark wealth (the state largely uses the illegal profits so there are no very rich people from illegal activities), or there is no dark state but dark wealth (the state is not involved in illegal activities, so the profits obtained by the organized crime are found in the private wealth of the world).
Because there are no examples of billionaires from illegal activities, it means that the wealth of the organized crime is hidden and no one knows what it is made of or who its owners are.
About the dark wealth we know that:
- it amounts to tens of thousands of billions of dollars;
- because it is much larger than the money supply, it comes not in the form of cash, but property (land, buildings, cars, etc.);
- because the majority of those involved in the production and sale of drugs remain poor, this means that a significant part of the dark wealth is concentrated;
- because there are no examples of known billionaires from illegal activities, this means that it has unknown owners. If the organized crime’s wealth had known owners, then the large fortunes would be known and they would be included in the top richest people.
Drug dealers do not manufacture cars, do not build buildings, they are not the source of ordinary/legal wealth. All riches come into being as legal wealth, with known owners. Consequently, dark wealth would initially be ordinary wealth with known owners. However, legal wealth may change owners under a simple sale-purchase agreement where both the seller and the buyer are specified (known). Regardless of how many times it changes owners, ordinary wealth will always have a known owner. Ordinary wealth with known owners cannot turn into dark wealth, so there is no dark wealth with unknown owners.
If the vast wealth of the organized crime exists, then this is known to the states.
In conclusion, the vast wealth of the organized crime cannot be hidden for two reasons:
- considering only the profits during the past 30 years, the dark wealth is between approximately the tenth part and a fifth of the accumulated fortune of those who have more than 1 million dollars, so it is everywhere;
- because it exceeds the money supply, this means it comes in the form of property, which always has known owners.
Notes:
1. "The Financial Action Task Force (FATF) estimated that in the late 1980s, sales of cocaine, heroin and cannabis amounted to approximately US$124 billion per year in the United States and Europe 1 , of this total some US$85 billion or 70% was considered to have been available for money laundering and investment."
"The $124 billion referred to estimates for 1988;"
https://www.unodc.org/pdf/WDR_2005/volume_1_chap2.pdf p. 123
2. "1997 World Drug Report estimated a likely turnover of the illicit drug industry at around $400 billion."
https://www.unodc.org/pdf/WDR_2005/volume_1_chap2.pdf p. 124
3. "Based on the inputs and the calculations explained above, the value of the global illicit drug market for the year 2003 was estimated at US$13 bn at the production level, at $94 bn at the wholesale level (taking seizures into account), and at US$322bn based on retail prices."
https://www.unodc.org/pdf/WDR_2005/volume_1_chap2.pdf p. 127
4. "Drug Trafficking between $426 billion to $652 billion"
http://www.gfintegrity.org/wp-content/uploads/2017/03/Transnational_Crime-final.pdf p. xi
5. "the value of the global illicit drug market for the year 2003 was estimated at US$13 bn at the production level"
https://www.unodc.org/pdf/WDR_2005/volume_1_chap2.pdf p. 127
"The $124 billion referred to estimates for 1988;"
https://www.unodc.org/pdf/WDR_2005/volume_1_chap2.pdf p. 123
2. "1997 World Drug Report estimated a likely turnover of the illicit drug industry at around $400 billion."
https://www.unodc.org/pdf/WDR_2005/volume_1_chap2.pdf p. 124
3. "Based on the inputs and the calculations explained above, the value of the global illicit drug market for the year 2003 was estimated at US$13 bn at the production level, at $94 bn at the wholesale level (taking seizures into account), and at US$322bn based on retail prices."
https://www.unodc.org/pdf/WDR_2005/volume_1_chap2.pdf p. 127
4. "Drug Trafficking between $426 billion to $652 billion"
http://www.gfintegrity.org/wp-content/uploads/2017/03/Transnational_Crime-final.pdf p. xi
5. "the value of the global illicit drug market for the year 2003 was estimated at US$13 bn at the production level"
https://www.unodc.org/pdf/WDR_2005/volume_1_chap2.pdf p. 127
6. Year Profits (billion US$)
1988 104.00
1989 134.67
1990 165.33
1991 196.00
1992 226.67
1993 257.33
1994 288.00
1995 318.67
1996 349.33
1997 380.00
1998 366.83
1999 353.67
2000 340.50
2001 327.33
2002 314.17
2003 301.00
2004 320.82
2005 340.64
2006 360.45
2007 380.27
2008 400.09
2009 419.91
2010 439.73
2011 459.55
2012 479.36
2013 499.18
2014 519.00
2015 519.00
2016 519.00
2017 519.00
2018 519.00
2019 519.00
2020 519.00
2021 519.00
2022 519.00
2023 519.00
2024 519.00
Total = $14,232.50 billion
1988 104.00
1989 134.67
1990 165.33
1991 196.00
1992 226.67
1993 257.33
1994 288.00
1995 318.67
1996 349.33
1997 380.00
1998 366.83
1999 353.67
2000 340.50
2001 327.33
2002 314.17
2003 301.00
2004 320.82
2005 340.64
2006 360.45
2007 380.27
2008 400.09
2009 419.91
2010 439.73
2011 459.55
2012 479.36
2013 499.18
2014 519.00
2015 519.00
2016 519.00
2017 519.00
2018 519.00
2019 519.00
2020 519.00
2021 519.00
2022 519.00
2023 519.00
2024 519.00
Total = $14,232.50 billion
7. https://data.bls.gov/cgi-bin/cpicalc.pl
8. Year Proceeds (billion US$)
1988 326.00
1989 377.22
1990 428.44
1991 479.67
1992 530.89
1993 582.11
1994 633.33
1995 684.56
1996 735.78
1997 787.00
1998 748.17
1999 709.33
2000 670.50
2001 631.67
2002 592.83
2003 554.00
2004 569.91
2005 585.82
2006 601.73
2007 617.64
2008 633.55
2009 649.45
2010 665.36
2011 681.27
2012 697.18
2013 713.09
2014 729.00
2015 729.00
2016 729.00
2017 729.00
2018 729.00
2019 729.00
2020 729.00
2021 729.00
2022 729.00
2023 729.00
2024 729.00
Total = $23,905.50 billion
8. Year Proceeds (billion US$)
1988 326.00
1989 377.22
1990 428.44
1991 479.67
1992 530.89
1993 582.11
1994 633.33
1995 684.56
1996 735.78
1997 787.00
1998 748.17
1999 709.33
2000 670.50
2001 631.67
2002 592.83
2003 554.00
2004 569.91
2005 585.82
2006 601.73
2007 617.64
2008 633.55
2009 649.45
2010 665.36
2011 681.27
2012 697.18
2013 713.09
2014 729.00
2015 729.00
2016 729.00
2017 729.00
2018 729.00
2019 729.00
2020 729.00
2021 729.00
2022 729.00
2023 729.00
2024 729.00
Total = $23,905.50 billion
9. "... of this total some US$85 billion or 70% was considered to have been available for money laundering and investment."
https://www.unodc.org/pdf/WDR_2005/volume_1_chap2.pdf p. 123
10. https://ofdollarsanddata.com/sp500-calculator/
11. Year, Revenue (billions of $), Profits for investment (billions of $), Investment with dividends reinvested (billions of $)
1988 124.00 85.00 3,825.73
1989 154.67 108.27 3,743.71
1990 185.33 129.73 4,594.87
1991 216.00 151.20 4,387.21
1992 246.67 172.67 4,337.78
1993 277.33 194.13 4,435.29
1994 308.00 215.60 4,903.94
1995 338.67 237.07 3,895.96
1996 369.33 258.53 3,438.91
1997 400.00 280.00 2,826.65
1998 386.93 270.85 2,178.95
1999 373.87 261.71 1,732.09
2000 360.80 252.56 1,773.55
2001 347.73 243.41 1,960.60
2002 334.67 234.27 2,364.28
2003 321.60 225.12 1,858.44
2004 331.09 231.76 1,696.16
2005 340.58 238.41 1,629.70
2006 350.07 245.05 1,466.19
2007 359.56 251.69 1,416.72
2008 369.05 258.34 2,393.05
2009 378.55 264.98 1,886.69
2010 388.04 271.63 1,696.32
2011 397.53 278.27 1,702.39
2012 407.02 284.91 1,492.74
2013 416.51 291.56 1,177.88
2014 426.00 298.20 1,039.96
2015 426.00 298.20 1,019.35
2016 426.00 298.20 912.41
2017 426.00 298.20 754.69
2018 426.00 298.20 768.80
2019 426.00 298.20 609.49
2020 426.00 298.20 514.35
2021 426.00 298.20 401.03
2022 426.00 298.20 471.78
2023 426.00 298.20 387.71
2024 426.00 298.20 298.20
Total Revenue = $13,169.60 billion
Profits for investment = $9,216.92 billion
Investment with dividends reinvested = $75,993.57 billion
14. "Processed cocaine is available in Colombia for $1500 dollars per kilo and sold on the streets of America for as much as $66,000 a kilo (retail). Heroin costs $2,600/kilo in Pakistan, but can be sold on the streets of America for $130,000/kilo (retail)."
http://www.pbs.org/wgbh/pages/frontline/shows/drugs/special/math.html
Profit margin (cocaina) (66.000 - 1.500) / 66.000 x 100 = 97,72%
Profit margin (heroin) (130.000 - 2.600) / 130.000 x 100 = 98%
15. https://www.ilo.org/global/about-the-ilo/newsroom/news/WCMS_243201/lang--en/index.htm
16. https://en.wikipedia.org/wiki/List_of_largest_companies_by_revenue
https://fortune.com/global500/2019/
17. Organized crime is growing.
"Transnational crime will continue to grow until the paradigm of high profits and low risks is challenged."
http://www.gfintegrity.org/wp-content/uploads/2017/03/Transnational_Crime-final.pdf p. xi
18. "Using current USD exchange rates, total household wealth rose from USD 117.9 trillion in 2000 to 399.2 trillion at end-2019, averaging 6.6% growth per annum."
https://www.credit-suisse.com/media/assets/corporate/docs/about-us/research/publications/global-wealth-report-2020-en.pdf p. 7
19. December 1990 - December 2019 Annualized: 10.34%
https://ofdollarsanddata.com/sp500-calculator/
20. The 2% wealth is the current wealth obtained over time by turning profits into wealth, considering that wealth increases annually by 2 percentage points. For instance, in 2017, estimated profits were $975 billion. In 2018, the 2017 wealth rose by 2%, from $975 to $994.50 billion. In 2019, wealth increased by 2%, from $994.50 to $1,014.39 billion.
Year, Estimate annual profits (billions of $), Wealth 2% (billions of $), Wealth 3% (billions of $), Wealth 4% (billions of $), Wealth 5% (billions of $)
1989 0.00 0.00 0.00 0.00 0.00
1990 48.75 86.57 114.88 152.03 200.66
1991 97.50 169.75 223.07 292.37 382.21
1992 146.25 249.63 324.86 421.69 546.02
1993 195.00 326.32 420.54 540.63 693.36
1994 243.75 399.90 510.36 649.80 825.42
1995 292.50 470.47 594.59 749.77 943.34
1996 341.25 538.12 673.49 841.08 1,048.16
1997 390.00 602.93 747.28 924.27 1,140.85
1998 438.75 665.00 816.20 999.81 1,222.34
1999 487.50 724.40 880.48 1,068.17 1,293.48
2000 536.25 781.21 940.32 1,129.80 1,355.08
2001 585.00 835.52 995.92 1,185.10 1,407.87
2002 633.75 887.40 1,047.49 1,234.48 1,452.57
2003 682.50 936.93 1,095.21 1,278.31 1,489.81
2004 731.25 984.17 1,139.26 1,316.94 1,520.22
2005 780.00 1,029.19 1,179.82 1,350.71 1,544.35
2006 828.75 1,072.08 1,217.05 1,379.93 1,562.73
2007 877.50 1,112.88 1,251.11 1,404.91 1,575.86
2008 926.25 1,151.68 1,282.15 1,425.92 1,584.20
2009 975.00 1,188.52 1,310.32 1,443.24 1,588.17
2010 975.00 1,165.22 1,272.15 1,387.73 1,512.55
2011 975.00 1,142.37 1,235.10 1,334.35 1,440.52
2012 975.00 1,119.97 1,199.13 1,283.03 1,371.92
2013 975.00 1,098.01 1,164.20 1,233.69 1,306.59
2014 975.00 1,076.48 1,130.29 1,186.24 1,244.37
2015 975.00 1,055.37 1,097.37 1,140.61 1,185.12
2016 975.00 1,034.68 1,065.41 1,096.74 1,128.68
2017 975.00 1,014.39 1,034.38 1,054.56 1,074.94
2018 975.00 994.50 1,004.25 1,014.00 1,023.75
2019 975.00 975.00 975.00 975.00 975.00
Total 30 years profits = $19,987.50 billion
Wealth 2% = $24,888.66 billion
Wealth 3% = $27,941.68 billion
Wealth 4% = $31,494.91 billion
Wealth 5% = $35,640.14 billion
21. Year, Estimate annual profits (billions of $), Wealth 2% (billions of $), Wealth 3% (billions of $), Wealth 4% (billions of $), Wealth 5% (billions of $)
1989 0.00 0.00 0.00 0.00 0.00
1990 41.00 72.81 96.62 127.86 168.76
1991 82.00 142.76 187.61 245.89 321.45
1992 123.00 209.95 273.22 354.65 459.22
1993 164.00 274.44 353.68 454.69 583.13
1994 205.00 336.32 429.22 546.50 694.20
1995 246.00 395.68 500.07 630.57 793.37
1996 287.00 452.57 566.42 707.37 881.53
1997 328.00 507.08 628.48 777.33 959.49
1998 369.00 559.28 686.45 840.87 1,028.02
1999 410.00 609.24 740.51 898.36 1,087.85
2000 451.00 657.02 790.83 950.19 1,139.65
2001 492.00 702.70 837.60 996.70 1,184.06
2002 533.00 746.33 880.97 1,038.23 1,221.65
2003 574.00 787.98 921.10 1,075.09 1,252.97
2004 615.00 827.71 958.15 1,107.58 1,278.54
2005 656.00 865.58 992.26 1,135.98 1,298.84
2006 697.00 901.64 1,023.57 1,160.56 1,314.30
2007 738.00 935.96 1,052.21 1,181.56 1,325.34
2008 779.00 968.59 1,078.32 1,199.23 1,332.35
2009 820.00 999.58 1,102.01 1,213.80 1,335.69
2010 820.00 979.98 1,069.91 1,167.12 1,272.09
2011 820.00 960.76 1,038.75 1,122.23 1,211.51
2012 820.00 941.92 1,008.50 1,079.06 1,153.82
2013 820.00 923.45 979.12 1,037.56 1,098.88
2014 820.00 905.35 950.60 997.66 1,046.55
2015 820.00 887.59 922.92 959.28 996.72
2016 820.00 870.19 896.04 922.39 949.25
2017 820.00 853.13 869.94 886.91 904.05
2018 820.00 836.40 844.60 852.80 861.00
2019 820.00 820.00 820.00 820.00 820.00
Total 30 years profits = $16,810.00 billion
Wealth 2% = $20,931.99 billion
Wealth 3% = $23,499.68 billion
Wealth 4% = $26,488.02 billion
Wealth 5% = $29,974.28 billion
22. Year, Estimate annual profits (billions of $), Wealth 2% (billions of $), Wealth 3% (billions of $), Wealth 4% (billions of $), Wealth 5% (billions of $)
1989 0.00 0.00 0.00 0.00 0.00
1990 33.25 59.05 78.36 103.70 136.86
1991 66.50 115.78 152.15 199.41 260.69
1992 99.75 170.26 221.57 287.62 372.41
1993 133.00 222.56 286.83 368.74 472.90
1994 166.25 272.75 348.09 443.20 562.98
1995 199.50 320.88 405.54 511.38 643.41
1996 232.75 367.02 459.35 573.66 714.90
1997 266.00 411.23 509.68 630.40 778.12
1998 299.25 453.56 556.69 681.92 833.70
1999 332.50 494.08 600.53 728.55 882.22
2000 365.75 532.83 641.34 770.58 924.23
2001 399.00 569.87 679.27 808.30 960.24
2002 432.25 605.25 714.44 841.98 990.72
2003 465.50 639.03 746.99 871.87 1,016.13
2004 498.75 671.25 777.04 898.22 1,036.87
2005 532.00 701.96 804.70 921.25 1,053.32
2006 565.25 731.21 830.09 941.18 1,065.86
2007 598.50 759.04 853.32 958.22 1,074.82
2008 631.75 785.50 874.49 972.55 1,080.51
2009 665.00 810.63 893.70 984.36 1,083.21
2010 665.00 794.74 867.67 946.50 1,031.63
2011 665.00 779.15 842.40 910.10 982.51
2012 665.00 763.88 817.87 875.09 935.72
2013 665.00 748.90 794.04 841.44 891.16
2014 665.00 734.21 770.92 809.07 848.73
2015 665.00 719.82 748.46 777.96 808.31
2016 665.00 705.70 726.66 748.03 769.82
2017 665.00 691.87 705.50 719.26 733.16
2018 665.00 678.30 684.95 691.60 698.25
2019 665.00 665.00 665.00 665.00 665.00
Total 30 years profits = $13,632.50 billion
Wealth 2% = $16,975.31 billion
Wealth 3% = $19,057.64 billion
Wealth 4% = $21,481.14 billion
Wealth 5% = $24,308.39 billion
24. "The United Nations Office on Drugs and Crime's World Drug Report 2005 estimates the size of the global illicit drug market at US$321.6 billion in 2003 alone. With a world GDP of US$36 trillion in the same year, the illegal drug trade may be estimated as nearly 1% of total global trade."
https://en.wikipedia.org/wiki/Illegal_drug_trade
25. It started with an annual growth rate of 4%, a rate higher than the average annual inflation rate of approximately 3.71% between December 1960 and December 2019.
26. https://www.macrotrends.net/global-metrics/countries/wld/world/gdp-gross-domestic-product
Year, Estimate annual profits 1% GDP (billions of $), Wealth 4% (billions of $), Wealth 5% (billions of $), Wealth 6% (billions of $), Wealth 7% (billions of $), Wealth 8% (billions of $)
1960 13.64 138.02 242.74 424.64 738.95 1,279.31
1961 14.39 139.99 243.86 422.57 728.48 1,249.50
1962 15.43 144.29 248.95 427.32 729.79 1,240.15
1963 16.65 149.72 255.86 435.05 736.04 1,239.19
1964 18.28 158.04 267.51 450.55 755.15 1,259.59
1965 19.90 165.46 277.41 462.83 768.47 1,269.95
1966 21.55 172.24 286.03 472.70 777.53 1,273.02
1967 22.94 176.32 290.01 474.76 773.62 1,254.89
1968 24.79 183.22 298.49 484.04 781.36 1,255.71
1969 27.36 194.41 313.69 503.89 805.81 1,283.01
1970 30.02 205.11 327.81 521.60 826.33 1,303.50
1971 33.16 217.88 344.91 543.63 853.19 1,333.41
1972 38.33 242.14 379.66 592.76 921.60 1,426.98
1973 46.62 283.24 439.87 680.28 1,047.78 1,607.35
1974 53.59 313.02 481.50 737.64 1,125.51 1,710.59
1975 59.91 336.47 512.63 777.92 1,175.88 1,770.60
1976 65.08 351.48 530.40 797.29 1,193.90 1,781.10
1977 73.57 382.02 571.00 850.23 1,261.27 1,864.17
1978 87.01 434.44 643.17 948.64 1,394.11 2,041.44
1979 101.13 485.55 711.98 1,040.24 1,514.43 2,197.09
1980 114.19 527.15 765.63 1,108.06 1,598.09 2,297.00
1981 117.96 523.62 753.26 1,079.88 1,542.89 2,197.13
1982 116.48 497.15 708.37 1,005.94 1,423.82 2,008.79
1983 119.72 491.33 693.41 975.41 1,367.70 1,911.74
1984 124.46 491.13 686.52 956.61 1,328.81 1,840.18
1985 130.24 494.17 684.20 944.37 1,299.55 1,783.00
1986 153.52 560.09 768.07 1,050.15 1,431.60 1,945.99
1987 174.85 613.39 833.15 1,128.38 1,523.87 2,052.24
1988 195.48 659.36 887.07 1,190.07 1,592.17 2,124.36
1989 203.24 659.19 878.40 1,167.32 1,547.13 2,045.15
1990 228.23 711.76 939.41 1,236.62 1,623.66 2,126.45
1991 238.24 714.40 933.91 1,217.79 1,583.99 2,055.28
1992 254.68 734.34 950.84 1,228.16 1,582.55 2,034.40
1993 259.59 719.72 923.03 1,180.99 1,507.56 1,920.05
1994 279.39 744.80 946.11 1,199.10 1,516.36 1,913.39
1995 311.41 798.23 1,004.32 1,260.86 1,579.57 1,974.68
1996 318.58 785.20 978.52 1,216.88 1,510.22 1,870.51
1997 317.52 752.50 928.84 1,144.21 1,406.75 1,726.23
1998 316.97 722.30 883.07 1,077.56 1,312.44 1,595.58
1999 327.31 717.18 868.45 1,049.73 1,266.59 1,525.58
2000 338.39 712.94 855.10 1,023.84 1,223.81 1,460.41
2001 336.27 681.22 809.27 959.83 1,136.57 1,343.74
2002 349.18 680.16 800.32 940.25 1,102.99 1,291.96
2003 391.52 733.31 854.64 994.60 1,155.84 1,341.33
2004 441.16 794.51 917.14 1,057.27 1,217.18 1,399.44
2005 477.60 827.05 945.62 1,079.81 1,231.52 1,402.81
2006 517.50 861.67 975.82 1,103.79 1,247.09 1,407.40
2007 583.15 933.64 1,047.25 1,173.41 1,313.36 1,468.47
2008 640.72 986.36 1,095.85 1,216.28 1,348.63 1,493.93
2009 665.00 984.36 1,083.21 1,190.91 1,308.16 1,435.69
2010 665.00 946.50 1,031.63 1,123.50 1,222.58 1,329.34
2011 665.00 910.10 982.51 1,059.91 1,142.59 1,230.87
2012 665.00 875.09 935.72 999.91 1,067.84 1,139.69
2013 665.00 841.44 891.16 943.32 997.99 1,055.27
2014 665.00 809.07 848.73 889.92 932.70 977.10
2015 665.00 777.96 808.31 839.55 871.68 904.73
2016 665.00 748.03 769.82 792.03 814.65 837.71
2017 665.00 719.26 733.16 747.19 761.36 775.66
2018 665.00 691.60 698.25 704.90 711.55 718.20
2019 665.00 665.00 665.00 665.00 665.00 665.00
Total 60 years profits = $16,475.90 billion
Wealth 4% = $33,969.34 billion
Wealth 5% = $42,430.57 billion
Wealth 6% = $53,971.89 billion
Wealth 7% = $69,927.61 billion
Wealth 8% = $92,267.03 billion
27. December 1960 - December 2019 Annualized: 10.21%
https://ofdollarsanddata.com/sp500-calculator/
28. https://en.wikipedia.org/wiki/Market_capitalization
1961 14.39 139.99 243.86 422.57 728.48 1,249.50
1962 15.43 144.29 248.95 427.32 729.79 1,240.15
1963 16.65 149.72 255.86 435.05 736.04 1,239.19
1964 18.28 158.04 267.51 450.55 755.15 1,259.59
1965 19.90 165.46 277.41 462.83 768.47 1,269.95
1966 21.55 172.24 286.03 472.70 777.53 1,273.02
1967 22.94 176.32 290.01 474.76 773.62 1,254.89
1968 24.79 183.22 298.49 484.04 781.36 1,255.71
1969 27.36 194.41 313.69 503.89 805.81 1,283.01
1970 30.02 205.11 327.81 521.60 826.33 1,303.50
1971 33.16 217.88 344.91 543.63 853.19 1,333.41
1972 38.33 242.14 379.66 592.76 921.60 1,426.98
1973 46.62 283.24 439.87 680.28 1,047.78 1,607.35
1974 53.59 313.02 481.50 737.64 1,125.51 1,710.59
1975 59.91 336.47 512.63 777.92 1,175.88 1,770.60
1976 65.08 351.48 530.40 797.29 1,193.90 1,781.10
1977 73.57 382.02 571.00 850.23 1,261.27 1,864.17
1978 87.01 434.44 643.17 948.64 1,394.11 2,041.44
1979 101.13 485.55 711.98 1,040.24 1,514.43 2,197.09
1980 114.19 527.15 765.63 1,108.06 1,598.09 2,297.00
1981 117.96 523.62 753.26 1,079.88 1,542.89 2,197.13
1982 116.48 497.15 708.37 1,005.94 1,423.82 2,008.79
1983 119.72 491.33 693.41 975.41 1,367.70 1,911.74
1984 124.46 491.13 686.52 956.61 1,328.81 1,840.18
1985 130.24 494.17 684.20 944.37 1,299.55 1,783.00
1986 153.52 560.09 768.07 1,050.15 1,431.60 1,945.99
1987 174.85 613.39 833.15 1,128.38 1,523.87 2,052.24
1988 195.48 659.36 887.07 1,190.07 1,592.17 2,124.36
1989 203.24 659.19 878.40 1,167.32 1,547.13 2,045.15
1990 228.23 711.76 939.41 1,236.62 1,623.66 2,126.45
1991 238.24 714.40 933.91 1,217.79 1,583.99 2,055.28
1992 254.68 734.34 950.84 1,228.16 1,582.55 2,034.40
1993 259.59 719.72 923.03 1,180.99 1,507.56 1,920.05
1994 279.39 744.80 946.11 1,199.10 1,516.36 1,913.39
1995 311.41 798.23 1,004.32 1,260.86 1,579.57 1,974.68
1996 318.58 785.20 978.52 1,216.88 1,510.22 1,870.51
1997 317.52 752.50 928.84 1,144.21 1,406.75 1,726.23
1998 316.97 722.30 883.07 1,077.56 1,312.44 1,595.58
1999 327.31 717.18 868.45 1,049.73 1,266.59 1,525.58
2000 338.39 712.94 855.10 1,023.84 1,223.81 1,460.41
2001 336.27 681.22 809.27 959.83 1,136.57 1,343.74
2002 349.18 680.16 800.32 940.25 1,102.99 1,291.96
2003 391.52 733.31 854.64 994.60 1,155.84 1,341.33
2004 441.16 794.51 917.14 1,057.27 1,217.18 1,399.44
2005 477.60 827.05 945.62 1,079.81 1,231.52 1,402.81
2006 517.50 861.67 975.82 1,103.79 1,247.09 1,407.40
2007 583.15 933.64 1,047.25 1,173.41 1,313.36 1,468.47
2008 640.72 986.36 1,095.85 1,216.28 1,348.63 1,493.93
2009 665.00 984.36 1,083.21 1,190.91 1,308.16 1,435.69
2010 665.00 946.50 1,031.63 1,123.50 1,222.58 1,329.34
2011 665.00 910.10 982.51 1,059.91 1,142.59 1,230.87
2012 665.00 875.09 935.72 999.91 1,067.84 1,139.69
2013 665.00 841.44 891.16 943.32 997.99 1,055.27
2014 665.00 809.07 848.73 889.92 932.70 977.10
2015 665.00 777.96 808.31 839.55 871.68 904.73
2016 665.00 748.03 769.82 792.03 814.65 837.71
2017 665.00 719.26 733.16 747.19 761.36 775.66
2018 665.00 691.60 698.25 704.90 711.55 718.20
2019 665.00 665.00 665.00 665.00 665.00 665.00
Total 60 years profits = $16,475.90 billion
Wealth 4% = $33,969.34 billion
Wealth 5% = $42,430.57 billion
Wealth 6% = $53,971.89 billion
Wealth 7% = $69,927.61 billion
Wealth 8% = $92,267.03 billion
27. December 1960 - December 2019 Annualized: 10.21%
https://ofdollarsanddata.com/sp500-calculator/
28. https://en.wikipedia.org/wiki/Market_capitalization
29. A 7% annual growth rate is roughly the average between the annual inflation rate (3.71%) and the annual growth rate of the S&P 500 (10.21%).
30. https://www.latimes.com/archives/la-xpm-2005-apr-24-oe-dubner24-story.html
31. "Offering some sense of the scale of this social milieu, in 1997 the United Nations (UN) reported that transnational crime syndicates had 3.3 million members worldwide who traffic in drugs, arms, humans, and endangered species (United Nations 1997: 132)."
https://jied.lse.ac.uk/articles/10.31389/jied.8/
