Despite being an illegal drug and a Schedule 1 controlled substance at the federal level, marijuana sales in the legal states have reached a total of $5.7 billion in sales since last year. While only 4 states have completely legalized marijuana for adult use, a total of 23 have legalized it in some way i.e. medicinal use. With this rapid increase in sales, thousands of people are trying to get a head start by quickly rushing into the industry any way they can, knowing that the legalization of all states is inevitable in the near future. The growth of this industry will certainly add to the total GDP, create more jobs, and overall stimulate the economy
http://www.usatoday.com/story/money/business/2016/03/20/legal-marijuana-sales-forecast-hit-23b-4-years/82046018/
I believe that the legalization of marijuana is going to be a great addition to the U.S. economy over time. However, I believe that this new business market is going to have its rough patches at the start. I know that small local growers are being overtaken by the bigger corporations and either buying them or forcing them into bankruptcy. The marijuana market right now is somewhat of a monopoly. This needs to be fixed but I don't believe can be until more states fully legalize marijuana. However, I do believe that this new addition is providing an excellent amount of new jobs and is stimulating the economy. I am really excited to watch this business market form and grow into the future.
ReplyDeleteI believe that the legalization of marijuana is going to be a great addition to the U.S. economy over time. However, I believe that this new business market is going to have its rough patches at the start. I know that small local growers are being overtaken by the bigger corporations and either buying them or forcing them into bankruptcy. The marijuana market right now is somewhat of a monopoly. This needs to be fixed but I don't believe can be until more states fully legalize marijuana. However, I do believe that this new addition is providing an excellent amount of new jobs and is stimulating the economy. I am really excited to watch this business market form and grow into the future.
ReplyDeleteWhile I believe that the legalization of marijuana can be very beneficial to an economy, a few questions still come to mind when thinking about the overall effect of its legalization. I wonder if in states where marijuana is legal in any way, are the jobs it is creating or will create just simply displaced jobs? Is legalization really benefiting the labor force as a whole or just moving workers to the marijuana industry and away from others? With that question being brought to light, is profit/revenue from the legalized marijuana industry really adding to GDP or increasing the economic growth rate of the US? I believe that it will take full legalization in the greater majority of the states to really access the industries' effect on our economy and it will take quite a long time to get to that point, if this country ever does.
ReplyDeleteI feel like the legal marijuana industry can be a good way for the government to reduce the budget deficit too. They can apply a sales tax on it and use some of that revenue to cut into the deficit. Also, like Tyler said, this industry can create many jobs and increase the GDP of the US.
ReplyDeleteI'll be interested to see what happens with the industry once marijuana is inevitably legalized. Right now there are many inefficiencies in the legal marijuana industry, and many things to sort out. However, like Tyler and the above commentators said, I believe that marijuana will eventually make a massive impact on overall GDP and tax revenue.
ReplyDeleteThe legalization of marijuana in Colorado has brought the state tremendous growth and not just financially. The state has seen a decrease in violent crimes since legalization as well as a large decrease in marijuana related arrests. Tax revenues in CO also grew by about $40.9 million in the first year. This money is being put back into the infrastructure and programs intended to educate the youth about drug use. The marijuana industry has also opened the door for other industries such as security and tech related companies. I think other states will look to mimic CO once they see the potential it brings.
ReplyDeleteI think the money generated by total legalization of marijuana will create a need for regulation of business practices which will be a great benefit for the lower positions of the industry.
ReplyDeleteIt is interesting to see how it pans out in Ohio in regards to marijuana legalization because the problem here is that it would be monopolized very quick and the state felt it wouldnt be economically beneficial
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