The experience in places where this has been tried is that the supply in the black market reduces and prices significantly increase. So yes, the evidence is that legalization does a better job of restricting black market access than blanket criminalization.
Note that having a legal market doesn't suddenly mean the police stop busting drugs gangs. What it means is that drugs gangs not only have to face exactly the same law enforcement crackdown they already have, but also have to compete with legal, medically regulated access to drugs. It's a double-whammy for them.
So given that eliminating drugs completely has utterly and comprehensively failed, at huge financial and social cost, and given that legalization and regulation has proven to be effective time and time again, the question is which approach is best at managing the damage these drugs do and protecting individuals and society?
this point is under appreciated. i see new taxes and regulations spring up on legalized cannabis in California. and, just like with the high taxes on a pack of tobacco cigarettes, some of the market goes underground. (except, with cannabis, it hasn't had time to fully emerge from the underground in the first place!)
Not really.
If you create a big series of regulations and taxes around drugs - then there will still be a huge secondary, black market.
The 'war on drugs' will therefore continue - even as you 'legalize' drugs. Double whammy.
Take cigarettes - a much milder health concern:
"the total U.S. tobacco market represented by illicit sales has grown in recent years and is now between 8.5 percent and 21 percent." [1]
So now you have to 'fight a war on drugs' - and deal with the massive health-care crisis from the considerably more people who well get hooked on opioids, barbiturates etc..
[1] http://sites.nationalacademies.org/dbasse/claj/us_illicit_to...