The illicit drug abuse and trafficking problem has been clear in its relevance to the international community. The continued interest in the economic and social consequences of the illicit drug problem was the underlying premise behind this report published under the United Nations International Drug Control Program (UNDCP). Based on a previous study in 1995 that focused on dealing with illicit markets and the production, distribution, and consumption of illicit drugs, this report expands the information base in measuring the economic and social consequences of drug abuse. The report is divided into three primary sections. The first section offers a look at the extent of the illicit drug problem through its production, distribution, and consumption. In the second section, there is a comprehensive review of the economic consequences through the benefits and costs of drug abuse and trafficking, work, employment and productivity, prices and income, trade and balance of payments, and finance and investment. The third and final section discusses the social consequences of drug abuse and trafficking in relation to family and community, health, education, environment, and crime, corruption and dangers for civil society. This report shows that an assessment of the economic and social consequences of the drug problem can be a difficult one and that the information on the various consequences of drug abuse is unclear. However, it is crucial that the information attained be converted into policy-relevant knowledge. Research results need to be channeled into the process of drug policy development within specific countries, but also on an international level. Figures, references, and appendices I-III