Is medical cannabis a multibillion dollar industry or just another burden to the economy?
Medical marijuana has been an on-going issue in the United States for a while now. Ever since the recreational sale of weed became legal in 2012 in the states of Colorado and Washington, many people began pushing for the legalization of medical cannabis in all 50 states. For example, the state of Illinois only legalized the use of medical marijuana for medical purposes. Once other states began to realize the economic growth of legalized marijuana across the U.S., people who doubted the legalization of weed couldn’t resist the fact that it did benefit the economy. However, others believe different. Learn more about the medical marijuana industry and its effect on the economy and where it is headed.
Dreadful Affects of Medical THC on the EconomyCurrently, there are people who believe that marijuana has nothing to contribute to the economy except corruption, such as a significant increase in social cost, decline in labor work, and addiction which will lead to an increase in rehabilitation and treatment centers (Economical Pros and Cons, 2012). “The Weed War” states that there won't be just an increase on social cost but, in criminal activity. Criminal activity can include, “assaults, robberies, murders, loitering, and the vending to minors” (Economical Pros and Cons, 2012). Besides that, some people are afraid that the number of crimes will increase due to the legalization. Elite Daily on the other hand, is more concerned with the price of weed to decline which would cause “lowering the projected revenue from both sales and taxes” (Hudson, 2018). If the legalization of weed were to occur, high taxes would create the local and state government to spend more money on law enforcement (Hudson, 2018), which means legalizing cannabis would defeat the purpose of making money.
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Advantages of Therapeutic CannabisWhile others only see the disadvantages of medical THC (Tetrahydrocannabinols) more liberals see the benefits that could help the economy grow. Greenway Consults believe that specifically medical marijuana “can be a huge help to both local economies, and local job markets” (Greenway Consults, 2015). For example, New Frontier Data has determined that “by the year 2020, 250 million jobs will be created” (News, 2018). Most importantly, there has been several positive economical influences ever since the legalization of recreational marijuana in some states, such as the state of Nevada, which “managed to rake in $27 million in the first month of legalization” (News, 2018). As for Colorado, which was one of the first states to legalize the recreational sale of weed, has earned “over $100 million a month as of July 2017” (News, 2018). Based off market research, by the year 2021 sales are expected to grow by 30%. With an increase of projected sales comes an increase of arrests made for the possession of marijuana. “An American is arrested for violating a cannabis law roughly every 30 seconds” (Hudson, 2018). Now, think of all the money that goes into making an arrest and incarcerating the defendant. The government must pay for the law enforcement, the prosecution in court, and most of the time the defendants’ lawyers, and on top of that they pay to imprison them (Hudson, 2018). “In total, the amount of money spent annually in order to prohibit the use and sales of illegal marijuana costs taxpayers about 7.7 billion dollars” (Hudson, 2018). This is leaving taxpayers to think whether they are investing their money where the economy really needs it, or if it can be spent elsewhere.
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Professionals Point of View
Kevin Sabet, president and CEO of Smart Approaches to Marijuana (SAM) & Economic Analyst Dan Schneider
Economic analyst Dan Schneider and Kevin Sabet who is president and CEO of “Smart Approaches to Marijuana”, also known as SAM, have spoken out about their personal opinions of medical marijuana and the economy. Dan Schneider makes it known that “marijuana is currently grown, distributed, and sold almost entirely on the black market and is used largely out of the public eye, assessing the value of the national market for marijuana” (Greenway Consults, 2015). He goes on to state that “a fully legalized cannabis market could be as large as $46 billion per year, while more conservative observers peg it at anywhere between $10 billion and $40 billion” (Greenway Consults, 2015). Emphasizing, that medical marijuana will make a full economy impact when cannabis is legalized nationwide. As for Kevin Sabet, he believed that the marijuana industry would make people lose their employment rather than increase the number of jobs. He also makes a remark about drug testing, “there are multiple jobs that require drug tests, and there is going to be a huge issue of people not being able to pass them” (Chevalier, 2018). He continues by making a social class remark saying that poor people will most likely fail a drug test, because they are in fact more often to get tested (Chevalier, 2018). Highlighting, that social class has a big impact on cannabis.
Our Outlook
Jasmin's View:
I am from the state of Illinois where the use of recreational marijuana is illegal. However, I grew up in a neighborhood where it was constantly used. As a kid, I was always told that the use of drugs was bad. That’s until I was diagnosed with a tumor, called Capillary Hemangioma which was located on the right side of my face. I had a total of 17 surgeries, it was a combination of plastic and laser surgery. I was given many prescription drugs to relieve the pain and swelling after each procedure. After many years of taking the medicine the doctor prescribed, my small little body couldn’t withstand all the toxicities of the pills. I was constantly changed from prescription to prescription. It was a struggle and it affected me a lot. As I got older, I learned more about different treatment options and came across the usage of medical marijuana on patients. Also, I learned about the many economic side effects it has on the economy. Medical THC has had an everlasting affect on many patients and the economy of legalized states. I believe this is the best available option for patients who need it the most. However, people and patients should get informed on the side effects that cannabis can cause. Although, there might be a downfall to medical THC there are great factors that balance out the bad. As a country we should investigate the different options we have for patients and see how our economy can grow for future generations.
Taylor's View:
Making marijuana legal for medical purposes will not only help the people but help the economy. It is easy to see that states where marijuana is legal for recreational or medical use, their economy has improved greatly. Medical marijuana is also another source for taxes, which is a direct benefit for the federal and local government.
Marco's View:
Economically, Texas ranks as the 10th largest largest state economy in the United States. The United States has the number 1 best ranking gross domestic product (GDP) economy in the world. Marijuana could, not only improve, but keep the United States as the best ranking economy by creating jobs in the U.S. Legalizing marijuana would lower the amount of poverty in the united states substantially by creating jobs that would help out many lower class and middle class people.
Andrea's View:
Making medical marijuana legal would help make U.S. much more successful economically because it can create jobs and keep people of any age who are in pain at a better and manageable state. Yes, it might be people who are in the lower class who will end up failing they’re drug tests but those are the people who end up using marijuana because it is cheaper than the medicines, they are prescribed by they’re doctors. I also believe that it will create lots of jobs more then not selling it at all, it’s already happening on the streets so why not just sell it legally to people who need it.
REFERENCES
Chevalier, Z. (2018, August 1). Recreational Marijuana May Be Big Business for States. Retrieved October 28, 2018, from https://www.usnews.com/news/best-states/articles/2018-08-01/the-legalization-of-recreational-marijuana-an-economic-opportunity-for-states
Zhang, M. (2018, March 13). Legal Marijuana Is A Boon To The Economy, Finds Study. Retrieved October 28, 2018, from https://www.forbes.com/sites/monazhang/2018/03/13/legal-marijuana-is-a-boon-to-the-economy-finds-study/#41e0bacbee9d
Felix, A., & Chapman, S. (n.d.). The Economic Effects of the Marijuana Industry in Colorado. Retrieved October 28, 2018, from https://www.kansascityfed.org/publications/research/rme/articles/2018/rme-1q-2018
News, M. (2018, May 28). How medical marijuana has affected the economy of legalized states. Retrieved October 28, 2018, from https://420intel.com/articles/2017/11/23/how-medical-marijuana-has-affected-economy-legalized-states
Economy of Medical Marijuana. (n.d.). Retrieved October 28, 2018, from https://luxury.rehabs.com/economy-of-medical-marijuana/
The Economics of Medical Marijuana: How legalization is leading to the next US boom market. (n.d.). Retrieved October 24, 2018, from http://www.greenwayconsults.com/2015/12/15/the-economics-of-medical-marijuana-how-legalization-is-leading-to-the-next-us-boom-market/
Hudson, P. (2018, June 20). Is Legalizing Weed Good for The US Economy? Retrieved October 24, 2018, from https://www.elitedaily.com/news/business/legalizing-weed-good-economy
W. (2015, April 19). The Future of Legal Marijuana Explained with Marijuana | Data Attack. Retrieved October 24, 2018, from https://www.youtube.com/watch?v=K5XIA953EKA
Economical Pros and Cons of medical marijuana. (2012, February 09). Retrieved October 24, 2018, from https://theweedwar.wordpress.com/about/economy-pros-and-cons-of-medical-marijuana/
Reality Check: Marijuana won't boost economy. (n.d.). Retrieved October 28, 2018, from http://anthonytaurus.com/reality-check-marijuana-wont-boost-economy/
Zhang, M. (2018, March 13). Legal Marijuana Is A Boon To The Economy, Finds Study. Retrieved October 28, 2018, from https://www.forbes.com/sites/monazhang/2018/03/13/legal-marijuana-is-a-boon-to-the-economy-finds-study/#41e0bacbee9d
Felix, A., & Chapman, S. (n.d.). The Economic Effects of the Marijuana Industry in Colorado. Retrieved October 28, 2018, from https://www.kansascityfed.org/publications/research/rme/articles/2018/rme-1q-2018
News, M. (2018, May 28). How medical marijuana has affected the economy of legalized states. Retrieved October 28, 2018, from https://420intel.com/articles/2017/11/23/how-medical-marijuana-has-affected-economy-legalized-states
Economy of Medical Marijuana. (n.d.). Retrieved October 28, 2018, from https://luxury.rehabs.com/economy-of-medical-marijuana/
The Economics of Medical Marijuana: How legalization is leading to the next US boom market. (n.d.). Retrieved October 24, 2018, from http://www.greenwayconsults.com/2015/12/15/the-economics-of-medical-marijuana-how-legalization-is-leading-to-the-next-us-boom-market/
Hudson, P. (2018, June 20). Is Legalizing Weed Good for The US Economy? Retrieved October 24, 2018, from https://www.elitedaily.com/news/business/legalizing-weed-good-economy
W. (2015, April 19). The Future of Legal Marijuana Explained with Marijuana | Data Attack. Retrieved October 24, 2018, from https://www.youtube.com/watch?v=K5XIA953EKA
Economical Pros and Cons of medical marijuana. (2012, February 09). Retrieved October 24, 2018, from https://theweedwar.wordpress.com/about/economy-pros-and-cons-of-medical-marijuana/
Reality Check: Marijuana won't boost economy. (n.d.). Retrieved October 28, 2018, from http://anthonytaurus.com/reality-check-marijuana-wont-boost-economy/