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We can no longer pretend that this is just a Mexican problem. The violence has gotten so out of control between the cartels and corrupt police, that I would almost rather be in Iraq than Juarez.
If this gets any worse, I see us having 2 options:
1. Kill the demand. Make Cocaine, Heroin, and Meth legal, and domestically produce mass quantities.
I really dont see this happening. Even hippies know just how damaging those drugs are. It isnt like MJ where you can compare it to beer. The US would never consider full-scale decriminalization.
2. Stop throwing money to the Mexican government, and get involved. Delta Force, CIA, etc. I would hate to take assets away from the Middle East, but a team of Rangers, SEALS, Etc. could start taking out some of the big guys.
The obvious problem with something like this, is that when you kill one, 2 more pop up. The power-vaccum is actually what caused all of this to begin with.