Addiction refers to a curable, chronic medical illness involving mixed interactions within the environment, brain circuits, life experiences of an individual, and genetics. Individuals with addiction engage in compulsive behaviors or use substances and they often continue using them despite having harmful effects. There are two types of addiction which are behavioral and physical addictions (Mrad et al.,2020). Compulsions, lifestyle dysfunction, cravings, and the inability to stop all tip to the existence of addiction. One might be addicted to compulsive behaviors similar to a person who is addicted to substances like hard substances and alcohol. When comparing to the cause of addiction, the type of addiction an individual has does not matter. These detrimental effects with the addiction development might include destructive behavior, family conflict, negative feelings, and financial issues that result due to these factors.
Physical addiction
Physiological addictions are ingested substances that when consumed alter the way user’s body functions. Some examples of physical addictions are alcohol, tobacco, cocaine, marijuana, and others. Generally, physical addictions are grouped into three different categories; illicit drugs, prescription drugs, and alcohol (Mrad et al.,2020). First and foremost, illicit drug addiction is the situation of being addicted to substances that are illegal and can lead to disruptions of short-term in the system of the brain which can lead to reality altered perception of what is happening. The most disadvantageous part of these illicit drugs is that they cause brain long-term changes and also alter the functions of body organs which can lead to severe addictions. The second physical addiction is alcohol addiction which has affected millions of people globally. Alcohol addiction has manifested in binge drinking and regular heavy drinking. The fundamental cause of alcohol addiction depends on simple social interaction and one progresses further with drinking and ends up being addicted. Alcohol addiction has serious consequences, for instance, it has an effect on health by causing liver cirrhosis, on physical health it causes the unwanted smell (Cassidy et al.,2018). Once one is addicted to alcohol, it might be cumbersome for him to live without drinking and this has caused various negative impacts not only to individual health but also to the growth of the economy. On the other hand, prescription drug addiction is the usage of medication which have been approved but not prescribed by an authorized doctor. It has become one of the substance usage problems facing people. Drug addiction has become one of the fundamental problems that have become difficult to be done away with within society (Mrad et al.,2020). As discussed in preceding points, drug addiction can result in health problems, physical problems, financial issues and it can also deteriorate correlation with family and friends. Economically, drug addiction has resulted in a high rate of unemployment, poor productivity rate, and drop out of school. Lack of education among youths has interfered with specialization and division of labor hence lowering the quality and quantity of goods manufactured which lowers the economic growth rate.
Behavioral Addictions
Behavioral addiction is classed as any time that an individual loses management over their actions to be involved in behaviors that lead to brief happiness feelings (Mrad et al.,2020). The individual turns to be dependent on the satisfying feeling that results due to specific behaviors and he or she start to act on those behaviors compulsively (Cassidy et al.,2018). Examples of behavioral addiction include work, exercise, food, gambling, and internet addiction. Behavioral and physical addictions are often interlinked. Individuals fighting substance abuse disorders mostly endure behavioral addictions too.
The foremost provocation for any of the addiction theories is to describe the reason being consistent to a certain pattern of behavior with an individual of extravagant consumption even if the pattern has generated exceedingly wanting consequences. This addiction has been due to a loss of control among the users. According to behavioral economic and economic arguments on the same topic, addiction is centrally based on various choice models and attractive to forces of non-volitional is a non-option for additional theory based on choices (Cassidy et al.,2018). In consequence, the summons of development of addiction theory is specifically acute in literature choice due to primarily assumptions behavior chosen by individuals’ patterns allocation that base on various consequences functions of the patterns. Basically, theories would major on the models of addiction and substance usage. It is imperative to distinguish between addiction and substance use because some substance users are non-addictive to their lives. The economic analysis of behavior has greatly contributed to the research of the addiction prodigy. Economics of addiction is fundamentally established on models of choice and it is not an option for addiction theory that is based on the choice to engage in non-volitional forces (Cassidy et al.,2018). Inverse relations between price and consumption of substance has been noted in the natural environment for illicit drugs, cigarettes, and alcoholic beverages. investigation and analysis on the use of a substance as a cost function have frequently found an inverse relationship that is quantifiable.
Constraints effects access to choice activities.
The essentialism immanent in behavioral economics deduces that the substance use-value depends on the overall context of the activities present for engagement and their cost or benefit ratios variableness. High preferences for substances become apparent in natural environments that entail opportunities to get involved in other different activities thus the general context being the main issue in substance use investigation (Cassidy et al.,2021). Generally, this proposes that the use of substances varies inversely with other activities’ cost or benefit ratios. Observable economic concepts regarding substitutability commodities correlations can appraise how the demand of drugs interrelates with demand for or availability of reinforces. Commutability interrelations quantify and classify how one commodity demand varies with induced price variations to demand of another product. Economic ideology regarding substitutability interrelations are essential for explaining how drugs order interacts with other commodities demands. Similarly, activities’ cost or benefit ratios variability other than the use of a substance is essential too in understanding the changeability in abuse of substance in a natural environment (West,2021). After several pieces of research, relapses were found to be occurring more during the transitioning of recovering environment of an individual structure from more to fewer choice rewards being present. Controlling the change and reducing the use of substance might be conceptualized as entailing the backward process whereby the transitions of the structural reward are from few to greater choice of present reward.
Theories of Addiction
From any given choice of addiction, terrestrial inconsistencies in predisposition created by off-time discounting are the vital elements in describing exceeding usage of substance. In this case, there are main four theories within the addiction developed within the perspective choice which include the melioration, relative and rational addiction theories, and Ainslie’s addiction theory (West,2021). The fundamental theories are discounting hyperbolic temporal as discussed in addiction. It obviously provides a backbone on how the four theories are developed. The target of each theory is basically to create a sort of dependency intertemporal between the utility and consumption in dissimilar duration; disparaging in addiction accounting.
Three of the four theories of addiction which include melioration, relative, and hyperbolic discounting addiction theory emerged from the psychological literature. The rational theory of addiction differed from the three since it emerged in the economic literature. These consist of two essential distinctions and commonalities among the theories (West,2021). Each of the four theories has long-term behavioral patterns of allocation of addictive substance consumption. The relative, rational and melioration theories look for the root of the addiction in the temporally extended behavioral allocation patterns dynamics to other activities and substance use, rather than in various sorts of neurophysiological mechanisms or internal cognitive (Kwako et al.,2018). The concept that one-time period addictive commodities consumption decreases the utility emerging in later-time periods from being involved in other activities and the addictive substance is another commonality that applies to relative, rational, and melioration theories. An essential variation among the four theories of addiction is that Hermstein and Rachlin’s, Prelec’s, and Ainslie’s theories all assume a discounting function that is hyperbolic while Murphy and Becker’s rational theory of addiction assumes exponential discounting.
Melioration addiction theory
This theory supports that the maximization or expansion of local utility obtained from other activities and the use of substances can result in addiction. In this melioration theory of addiction, all activities of use of non-substance are regarded as the only available choice that is mutually exhaustive and exclusive, thus the specified person is administering behavior to non-substance and substance use activities (West,2021). The local value of activities of non-substance use is the benefit derived while involved in them whereas that of substance use is the utility derived during the consumption of a substance. Global utility combines both the two local utilities of non-substance and substance use activities. Based on the melioration theory of addiction, the behavioral allocation of an individual is sensitive to local utilities and insensitive to global utilities. Melioration supports the idea of behavior being allocated based on the chosen option that gives the highest local value. Even though the amelioration process has a significant empirical reinforcement in laboratory experiments, there lacks a piece of evidence in addiction studies that is direct and prefers it over the other three addiction theories. The recovery process from addiction might entail a reconfiguration of how the choice options are perceived. The utility that is derived from a heavy drinking evening is separated from the hangover the next morning. If the transitory boundary of local utility is widened, it might interfere with the local utility’s computation thus changing the worth of a substance use incident.
Ainslie addiction theory
The Ainslie addiction theory basically begins with the hyperbolic discounting notion though the ideological implications are explored much extensively compared to addiction explanation to a psychoactive substance. This theory is more concerned with the behavior of extended patterns shown by the individual. It espouses behavioral range whereby impulse and impulsiveness issue control is a jurisdiction which includes itches, bulimia, dissociative disorders, and many more aspects experienced every day in human life. In many cases, Ainslie hardly committed a sole essay to substance addiction but habitual addicts always commonly used as examples on which temporary reversals prodigy of preference caused by hyperbolic discounting have maximal pertinence hence offering hallmark characteristics accounts of the behavioral addicts and experience ambivalence, regret, resolution, indulgence, and vacillation (West,2021). It can be therefore concluded that Ainslie’s major role is to contain inferred addiction theory in a way that addiction is an exemplar case that represents part of the self-defeating behaviors range that he would like to account for. Hyperbolic discounting is capable of describing impulsive choices hence the addict’s repeated give in to temptation regardless of resolutions made earlier in curtailing the usage of substance with non-explanation of measures of avoidance of such impulsiveness.
The intrapsychic is the main method of the device called “precommitment” which deliberates social environment or physical so that the choices made by the individual using substance become quite challenging and impossible to make. Emotion preparation outlined emotional responses attempts to inhibit with augmenting emotions that are incompatible with the desire to have it. As proposed by Ainslie, in preference of being permeated by consistent and rational preferences as assumed customarily, the “self” is formed through conflicting preference based on a wide range of rewards since hyperbolic discounting attain dominance of one another at divergent points in duration (West,2021). The motivation and desire of acquiring each reward inclusive of their specific associated mental processes are generally referred to as “interest.” On the other hand, the correlation between the competing interest is referred to as the internal economic market place no wonder the name “picoeconomics.” Ainslie has strongly warned on dangers associated with devices of self-control despite the fact that they are apparently pertinence to the addictive behavior modification. The discussed endangerments pointed with Ainslie and the rest of the facets he points out must be consulted at the central or main source.
Rachlin’s addiction theory
This theory is basically based on global utility maximization which is procured from two main activities; social and substance interaction. In assumption, relative addiction theory is the general abuse substances which include nicotine, cocaine, alcohol, and others are assumed to be interchangeable with social correlation with different individuals of different backgrounds. Due to the fact that economic demand substitutes demand inversely varies (West,2021). It can be finalized that the demand for addictive substances is indirectly proportional to that of social interaction. For instance, the rise of substances that are addictive demand is involved with a fall in interaction. As proposed by the relative theory of addiction, a process in which consumption patterns within a range of time modifies the social interaction and the addictive consumption cost ratios and benefits that consider the imprudent addiction consumption. The two pivotal relative addiction theory processes are sensitization of price and price habituation which relates to benefit change on a specific period in activities ratios as less or more of them are involved (Field et al.,2020). Generally, the relation between benefit or cost ratio and consumption is negative with commodities that are price-habituated. The more consumed price-habituated product, the lower the profit is attained from a specific behavioral allocation unit such as tolerance to an addictive substance like cocaine. On the contrary, in relation to price sensitized products, the correlation between the cost ratio or benefit and general consumption is positive. The more consumed price-sensitized product, the more profit is gained from a specific unit from behavioral allocation such as enjoyment obtained from playing games with friends. Based on relative addiction theory, social relationships are basically price-sensitized while addictive substances are assumed to be price-habituated. Maximization of benefit from addictive substance and social interaction will result in one having the highest cost ratio or benefit being consumed due to the fact that these two commodities are mutual substitutes.
The predominant choice of relative theory of addiction dynamic is the price habituation addictive substance rate in regard to in correlation to social interaction price sensitization rate. Social interaction and drinking are mutual substitutes, during and after events individuals would begin drinking more alcohol to reduce their social interaction (Strickland et al.,2020). Due to price sensitization and price habituation of the social interrelation and drinking respectively, much drinking and socializing with people will lead to a reduction of cost ratios or benefits not only for drinking but also group socializing. Additionally, the higher the price sensitization rate of social interrelation than the price habituation rate of an addictive substance, the greater the cost ratio or benefit of the addictive commodity than that of social interaction. Consequently, the most critical facts in Rachlin’s theory of addiction are price sensitization and habituation rates (Field et al.,2020). If the price habituation rate would be more than price sensitization of interaction rate in some cases the cost ratio or benefit of consumed addiction substance would literally decrease to a low amount than the cost or benefit ratio.
The research and the theories on substance abuse illustrated by the molecular techniques have created the updated focus on the neurophysiological and cognitive mechanism as the constructive variable control of exceeding consumption of substances (West,2021). Another vital point to note proper forces understanding acting from inside of the substance user over a period of time more than episodes of particular consumption which include intimate, function and structure of the community, societal practices, and even family (Field et al.,2020). Having proper knowledge on how consumption of excessive substance can fit in an individual behavioral pattern which are initiated by the individual outside forces of the analysis at molar levels will greatly enhance development in the area and can result to sufficient community health.
Rational addiction theory
“Rational” in this theory basically means that people are asked to consider the future impacts of consumption when coming up with decisions regarding their current consumption. Rational addiction theory is an essential power in the pertinent literature of economy. This theory is founded on assumptions of economists and theorists that limited resources assigning to commodities present is controlled by an option procedure that is involved in maximizing lifetime utility functions, provided a constrained budget and future utilities discounting. Future impacts on current consumption incorporation was a compelling move further than the former economic addiction version whereby past consumption was only thought to have an impact on the present consumption. Similar to the melioration addiction theory, rational theory involves the grouping of all the activities of non-substance use into a single category (Field et al.,2020). In addition, an individual is viewed as allocating behavior to other activities or substance use. Besides, it also supposes that present and past use of substance reduces the future and present utility obtained from a particular use of substance level just like both the relative and melioration addiction theories (West,2021). A significant variance is made between marginal and total utility obtained from a specific commodity consumption level whereby total value is the gain obtained from a specific consumption degree during a particular period while marginal utility refers to the addition to total value formed by next commodity unit consumption. Generally, the marginal value can be said to be diminishing more when a commodity is consumed. It might be hard for an individual who is not an economist to adhere to the rational theory of addiction as set out formally by Becker and Murphy. Theorists of rational addiction shifted their concerns to the understanding of the addiction occurrence and impacts of cost on consumption rather than understanding addiction recovery.
Addictive Goods Economic Models of Demand
There are three economic models which include myopic, standard demand, and rational models. The myopic model apprehends the intertemporal dependence that distinguishes additive goods through the past consumption stock. In addition, it doesn’t accept forward-looking but backward-looking behaviors only (Field et al.,2020). On the other hand, the rational model apprehends the intertemporal dependence that distinguishes additive goods through both price and past consumption. Different from the myopic model, it accepts forward-looking behaviors through price and consumption. The model is more empirically challenging due to the specific indigeneity of future and past consumption. Standard demand models ignore the elements that characterize additive goods from various consumer goods.
Economists’ roles in research of addiction
Illicit and licit drugs are complex and large markets. Alcohol and tobacco expenditures account for a significant proportion of the budget of an individual in both the underdeveloped and developed worlds. Economists research the consumption and production of the specified commodities. As tobacco and alcohol goods are essential sources of revenues of governments in several countries, economists perform a crucial role in modeling the effects of the market’s alternative financial policies (Field et al.,2020). Additionally, addictive goods consumption is of gain to economists due to the consumption’s unfavorable effects on health, effects influences on workplace behavior, and licit consequences like driving while drinking. Economists can employ their knowledge to sort out disputes within an impartial framework. Evaluation of criteria which include analysis of cost-benefit or studies of cost-effectiveness can be implied to help in priorities decisions for program prevention or choice made between alternative schemes of workplace or treatments. For successive economical evaluations, data should be obtained from well-done research and well-designed experiments.
Generally, economics provides topical expertise and tools that conveniently complement the disciplines that are traditionally related to the addiction sciences. Its’ worth goes past the potential to calculate a benefit or cost ratio or to legalize non-monetary outcomes. Paying concentration on addiction, its theories, and models is salient since it helps in recognizing the future and past contributions economics has made. Both the topic and the readings assist in understanding the operation of illegal markets, how the use of substances is affected by price, how substance use results in several consequences, and how ball the three are shaped by policies. Besides, consumption engaging with the price doesn’t deduce that the individuals using them maximize utility effectively, have good foresight, or are rational. As discussed above in the rational theory of addiction subtopic, several behaviors that are earlier regarded as irrational can be coherent with a completely informed optimum option with strong preferences. In my perspective, the rational theory of addiction is much more essential to economists is it illustrates that a prime postulation underpinning standard welfare economics isn’t mandatorily menaced by addiction.
Reference
Cassidy, R. N., & Kurti, A. N. (2018). Behavioral economic research in addiction as an area of growth for the experimental analysis of behavior. Behavior Analysis: Research and Practice, 18(4), 333.
Field, M., Heather, N., Murphy, J. G., Stafford, T., Tucker, J. A., & Witkiewitz, K. (2020). Recovery from addiction: Behavioral economics and value-based decision making. Psychology of Addictive Behaviors, 34(1), 182.
Mrad, M., & Cui, C. C. (2020). Comorbidity of compulsive buying and brand addiction: An examination of two types of addictive consumption. Journal of Business Research, 113, 399-408.
Rosa, H. Z., Barcelos, R. C. S., Segat, H. J., Roversi, K., Dias, V. T., Milanesi, L. H., & Burger, M. E. (2020). Physical exercise modifies behavioral and molecular parameters related to opioid addiction regardless of training time. European Neuropsychopharmacology, 32, 25-35.
West, R. (2021). Psychological theories of addiction. Routledge Library Editions: Addictions, 20.
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