PhillyInc

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The narcotics business, strictly speaking, is a consumer trade like many others with sales cycles, marketing trends and, OK, a uniquely complicated supply chain. Globally, it's worth an estimated $320 billion, and Philadelphia long has been a major U.S. profit center. But this week, the U.N. Office on Drugs and Crime concluded in a new report (7.5MB pdf) that global trends are dimming for this particular consumer business, especially in cocaine and marijuana. The report does note Colombian and Dominican drug traffickers remain particularly strong in Philadelphia and other East Coast hotspots. The Economist magazine has an interesting analysis of its own on the report this week and and agreed that future business prospects look tougher for illicit narcotics, though it said heroin remained an exception, as any Philly street cop can attest. All this is leading to speculate about what the traffickers, like any smart business people, should do next. The U.N. says diversification already has begun into other trades, illegal and not. The Economist expects more gang violence as dealers battle over fewer buyers. Great, that's all Philly needs.
- Thomas Ginsberg

It might be news if PNC Bank's annual "Twelve Days of Christmas" Price Index actually dropped. But it hasn't since 2002 (download history here), and didn't this year, either. The Pittsburgh-based company's PNC Wealth Management arm has calculated this year's cost at $19,507 for all those consumer goods and services: the partridge, pear tree, hens, drummers, ladies, golden rings, etc., 364 items in total. That's 3.1 percent over last year's total, which is less than the 4 percent rise in the Consumer Price Index.

PNC's James Dunigan attributes its Christmas-index increase this year in part to the weaker dollar and, to a lesser extent, the first federal minimum wage increase in 10 years. Those eight maids-a-milking get paid by the hour, after all. The biggest price increase was for the five gold rings, thanks to the precious-metal rally that has raised their price 21.5 percent over last year to $395. Too bad platinum doesn't rhyme so easily, since it's becoming a good buy. Still, PNC says the gold-ring total is still far off its 1989 high of $750.

On the other hand, the $4,759 price for nine ladies dancing -- based on estimates from Philadanco in Philadelphia -- is unchanged. Maybe Philly really does have more fun.

- Thomas Ginsberg