What happens is the production and consumer base reach a critical mass and then start dying. The dealers and those along the supply chain start killing each other over territory and profits and the addicts die off. The NYPD called this phenom Self-Cleaning Oven during the crack epidemic.
However, the larger the distribution bases and the number of addicts become the longer it takes to reach critical mass. And, the larger the problem the more bloody the turf wars, the more lives are ruined by addiction and the more innocents are caught in the cross fire.
That is to say -- if you wait for the problem to take care of itself, then you're going to have a real mess. Also, I would never say anything bad about DEA -- those guys have a hugely dangerous job that they do well.
Like the War on Some Drugs isn't a real mess now?
The controlled substance laws make illicit drug manufacturing highly lucrative.
The controlled substance laws also empower goverrnment to grant medical monopolies, which is the exact reason we find ourselves in a medical cost crisis today.
I worked for a company that is the only legal manufacturer of bulk codeine, morphine, fentanyl, etc. during the eighties and nineties. During the mid-eighties to early nineties they multiplied their prices by 4 each year, for no reason other than that they are a monopoly.
Guess who paid that X4?