I agree with you. I have posted this idea for many years, and I often get beat up for my stance.
I think the WOD is unwinable as it is being "waged".
My opinion is that there are 2 ways to actually "win" the WOD...either:
1) Make the penalty for selling or using drugs so horrible that only lunatics would do it. This means sumary execution on the spot.(which will NEVER happen)...or
2) Legalization and regulation like you said.
Any other contrived "solution" is a fools errand IMO.
I agree with everything* you said. With fedgov giving the green light to medical marijuana, and CA greedily eyeing those billion$ of untaxed profits, I say the War on Marijuana is collapsing.
*almost everything:) link to FR post showing heroin addiction higher in Iran, Singapore and the US than in The Netherlands