ipl-logo

Economic Impact Of Marijuana On The Economy Essay

1305 Words6 Pages

What Would the Economic Impacts of the Legalization of Marijuana be on the Adult Population of the United States of America? Introduction The topic of whether marijuana should be legalized has been a widely discussed issue over the past few decades, and with valid arguments for both sides, it is impossible for a decision to be made that everyone is happy with. However, from an economic standpoint there is only one decision that makes sense. Marijuana has been nothing but an economic boon for the states it has been legalized in, with it currently being one of the fastest growing industries in the states that it is legalized in, such as Colorado and California. Numerous jobs are being created as a result of this ever-growing industry. New jobs such as growers are being established, while already made jobs like retailers are growing in need. Certain industries and goods are also benefiting from the legalization of marijuana. For example, demand for storage units is skyrocketing, and unused office spaces are being used for growing and selling. While the majority of the population is experiencing a positive impact from marijuana, there is a minority who are being …show more content…

Mrinalini Krishna, who graduated from New York University’s Business and Economic Reporting program, wrote about the economic impact of marijuana in Colorado in an article for Investopedia. “In 2015, Colorado collected more than $135 million in taxes and fee on medical and recreational marijuana. Sales in the state totaled over $996 million.” (Krishna par. 2). A similar impact is being found in Washington. Gavin Ekins, Ph.D. graduate in economics from George Mason University and research economist for Tax Foundation reports that, “after a slow start to bring the licensing system online, sales are now averaging over $2 million a day with revenue possibly reaching $270 million per year.” (Ekins par.

Show More
Related
691 Words | 3 Pages

An article from the Baltimore Sun claims, “Colorado medical and recreational marijuana market created 12,500 direct jobs and about 18,000 total jobs in 2015 and generated about $1 billion in direct and nearly $2.4 billion in spin-off economic activity.” Looking at how the economy has grown in other states, we could sure hope that maybe the same could happen to us. The same article by the Baltimore Sun also stated, “He called marijuana a rapidly growing small industry ‘that has very high local impacts.” (the Baltimore Sun is referring to Adam Orens, founding partner of the Marijuana Policy

Read More
243 Words | 1 Pages

Is cheerleading a sport I think cheerleading should be a sport because they do stunts like the basket toughs. Cheerleading should be considered a sport because it involves physical activity and competition, requires dangerous stunts, intense conditioning. Cheerleading involves physical activity and competition.

Read More
991 Words | 4 Pages

"Potential Tax Revenue from a Regulated Marijuana Market: A Meaningful Revenue Source. " Jstor. N.p., n.d. Web.

Read More
1296 Words | 6 Pages

In the state of Colorado in the U.S marijuana is completely legal for both casual and medical use. Many had speculations over if the experiment of legalizing the drug in a state would be a success, the doubters were proved wrong as it has been a huge success especially from the economic point of view. In 2014, retail cannabis sales raised some $76 million in tax revenue and fees, according to data compiled by the Colorado Department of Revenue (ARMENTANO, 2015). Marijuana sales in the past year totaled some $700 million (ARMENTANO, 2015). If marijuana was not legalized this revenue would have gone to the black market where most of the marijuana was being sold, but instead can be used to stimulate the economy and raise tax dollars.

Read More
757 Words | 4 Pages

Abstract In the last few years, the issue of Marijuana has been a near constant issue. This essay will go through some of the possible effects of legalizing Marijuana. Whether they be health related, economics related, or incarceration related, effects are sure to be seen wherever legalization takes place. When something is legalized, be it a drug, occupation, or anything really, this opens the door for that something to be regulated and therefore taxed.

Read More
1780 Words | 8 Pages

But the financial benefits of legalization go beyond taxing the sale of marijuana and keeping drug money out of the hands of criminals. All across the nation, wherever the drug is illegal, state and local governments spend enormous sums of money on the enforcement of marijuana laws, the prosecution of offenders, and incarceration of the convicted. The Wall Street Journal estimates that the American taxpayer spends $40 billion per year on the administrative costs associated with the criminalization of marijuana (Becker). On the state level, we can again look to the example of Colorado. Conservative estimates by the Colorado Center on Law and Policy show that legalization will save the state $40 million per year by no longer administering marijuana laws (Drug Policy Alliance).

Read More
1430 Words | 6 Pages

If the all states in America decided to make marijuana legal then the nation's economy would boom. The state has already seen a positive effect since making the drug legal as noted in Marijuana's $2.4 billion impact in Colorado is a lesson for 5 states considering legalization, written by Alan Pyke, a Deputy Economic Editor for ThinkProgress.org. In this article Pyke discusses the impact tax revenue money from marijuana has had on Colorado’s economy, also noting that since the legalization, marijuana has generated 2.4 billion dollars for the state of Colorado. Furthermore, the surrounding industries in Colorado have not come close to the amount of production and tax revenue brought in by the marijuana industry, surpassing local industries by almost ninety-nine percent. In addition, other states on the border of legalizing recreational marijuana will look at the impact it has had and may want to follow Colorado's lead and legalize.

Read More
770 Words | 4 Pages

(Rabinski, 2015) The Huffington Post listed the many economic advantages of legalizing medical marijuana in the story “14 Ways Marijuana Legalization Could Boost the Economy” (http://www.huffingtonpost.com/2012/11/07/marijuana-economy-14-reasons_n_2089107.html). Some of the surprising benefits include: • $13.7 billion saved on prohibition enforcement costs • Estimated $500 million in tax revenue for Washington State • Estimated $60 million saved by Colorado legalization • Legalization could reduce marijuana prices • Huge prison cost savings (for prisoners on marijuana-related charges) • Marijuana prohibition costs taxpayers $41.8 billion a year • California marijuana crop worth $14 billion a

Read More
1397 Words | 6 Pages

Marijuana legalization, both recreational and medical, may positively impact the United States economy because of the taxes placed on the plant in several states, and instead of taxing the population, the government receives great revenue. The Marijuana Legalization and Taxes: Lessons for Other States from Colorado and Washington report by Tax Foundation describes the key findings of tax effects, Colorado and its effects tax rate totaling 29 percent, a projection of taxes in Colorado likely to exceed $140 million a year, Washington imposing a 37 percent excise tax, and many more statistics backing up the benefits of certain taxes and legalizations. The legalization of marijuana in present day clearly shows that the economy of the states where this “harmful” drug was legalized went straight up by a high percent in tax revenue. The United States must consider legalizing the drug across the country because not only will it raise the economy, it will also greatly reduce marijuana trafficking incarceration’s which proved to be a huge problem in the country. If the United States legalize marijuana, the crime rates and incarcerations will definitely

Read More
519 Words | 3 Pages

Colorado has dedicated a majority of the marijuana tax revenue to school construction, with the remainder of the money being placed into enforcement and general state funds. Washington dedicated 60 percent of its marijuana tax revenue to substance abuse prevention, research, education and healthcare. The remaining money was dedicated to general state funding and local budgets. Although contributing to the general fund does not impact it in a tremendous way, social services and other programs could be strengthened. By improving said programs, people could be helped and new jobs could be created.

Read More
436 Words | 2 Pages

Thesis Statement: Marijuana should be legalized in all states; it has proven medical benefits, economic benefits, and it is a comparatively safe drug. CONCESSION STATEMENT: Granted, people still are going to think drugs are bad or smoking marijuana will hurt your lungs. REBUTTAL (include in-text citation): Even though people will always think that drugs are bad, marijuana has a substantial amount of economic benefits. Just in the past years, when marijuana was legalize in many states for recreational and medical use, it has shown a great amount of profits (Krishna, 2017)

Read More
1396 Words | 6 Pages

Some may argue that by legalizing marijuana, it will impact our youths the most since it will become more easily available but just like alcohol, there should be a restriction on the drug. By legalizing cannabis, it will create jobs which would greatly help the economy. If we follow in Colorado’s footstep and apply a 25% tax on the drug, it will also boost our economy. Slowly but surely, marijuana is becoming more socially acceptable than it once was. If history has taught us anything, it is that prohibition does not work.

Read More
823 Words | 4 Pages

The first month that Colorado’s legalization policy took effect they raised “$2 million in taxes related to the sale of recreational marijuana” (Phillips). Colorado used the first forty million dollars of this tax revenue for school construction immediately benefitting the Colorado community. Legalization of marijuana would also create an entirely new industry in the United States creating jobs a healthier economy. Marijuana benefits the economy at such a large rate that “500 economists signed a petition urging a renewed debate on the benefits of legalizing the possession of marijuana” (Newton). This proves that marijuana legalization would provide a variety of benefits for all Americans, cannabis consumer or

Read More
2101 Words | 9 Pages

Between 2014-2015 marijuana will legalized in a few more states (Boyette, Wilson 2). In Colorado, government has legalized marijuana for medical reasons and recreational use. Government allows citizens over 21 to be able to hold 2 ounces of pot, and they are allowed to grow up to six pot plants in their own yards (Merica 2). Colorado and other states that have already legalized marijuana have made a great profit from all the marijuana sales that they have made. Marijuana doesn't only lead to more money for communities and government, but it also adds more jobs

Read More
726 Words | 3 Pages

In addition, when used, money will be taken from taxes. “The ICF study estimates at least 81,000 additional direct, indirect and induced jobs in California as a result of legalized marijuana sales. It also projects an increase in total labor income by at least $3.5 billion.” (Krishna) This means that people will have more jobs if the ban on marijuana is fully removed, benefiting the nation.

Read More

More about Economic Impact Of Marijuana On The Economy Essay

Related Topics

Open Document