Emerging data shows marijuana prices are getting a lot cheaper in states where the drug is legal.
Published on May 4, 2016
The price of marijuana on the black market has been allowed to grow dramatically due to lack of regulation and high demand. Those willing to take the risk in places where pot remains illegal are able to charge over-the-top prices and people will gladly pay for it. On the otherhand, legal marijuana shops are able to manufacture and sell marijuana for much less, even with tax ontop. In Washington state, prices have been falling at a rate of 2% per month, meaning close to a 25% drop per year! Once cannabis becomes legal nationwide, there will surely be even cheaper pot available as the market blows up, but it will also influence a high-end marijuana niche as well.
“When people purchase marijuana and other illegal drugs, they are largely compensating the dealer and everyone else along the supply chain for their risk of arrest and incarceration,” RAND Drug Policy Research Center Co-Director Beau Kilmer told VICE News. “With legalization, those risks are eliminated. Legalizing marijuana and allowing it to be industrially farmed like any other agricultural commodity will cause the production and distribution costs to eventually plummet.”