At the time of this writing, 18 States and Washington DC have legalized recreational marijuana use and 37 states have legalized medical marijuana. This means that a majority of Americans have access to cannabis either for medical purposes or for recreational use. The effort to provide cannabis to the population has not been without pushback from staunch opponents, who have their arguments against the legalization and access of marijuana. In this post, we are going to examine the how and why marijuana legalization, both medically and recreationally, is good for the economy at large, and for smaller communities such as Canyon Lake.
Economic Benefits of Legalizing Weed
Since the first states began to decriminalize and then legalize the use of marijuana, they have already seen the economic benefits. Overall, legal marijuana typically leads to a large financial boon for local, state, and the federal governments. Here are some of the key benefits of legal marijuana:
Tax Revenue Impact
Using the states of Colorado and Washington as an example, each state has seen an increase in tax revenues over the last several years; which allows these states to balance budgets and provide more government funding to various programs and salaries to government employees such as teachers. In 2019, the state of Colorado alone collected more than $302 million in taxes and fees associated with medical and recreational marijuana sales. By the year 2024, sales of legalized marijuana across the entire United States is expected to top $31.1 billion…yes billion with a B.
But it isn’t just the state government or the federal government reaping the benefits of legalized marijuana sales. According to research from Colorado State University-Pueblo, local economies have benefitted to the tune of an increase in $80.8 million in 2017 due primarily to taxes and fees from sales.
This is the carrot-at-the-end-of-the-stick for many states and local governments. The potential for huge increases in local and state revenue is alluring and can have a truly positive impact on a government’s budget which ultimately can help improve the life of its citizens.
Increase in Quality of Life and Job Opportunities
As we have seen here locally in Canyon Lake, the first step to creating a fully functioning, quality member of the community, legalized marijuana retail is to set up a high quality nursery and dispensary. That is our primary focus here at Cannabis Connection; to be the best marijuana dispensary in Canyon Lake. By setting up a nursery and a dispensary the impact can be immediately felt as both of these establishments provide jobs for the local citizens. Furthermore, by doing so, it helps get the ball rolling for economic activity in the pot industry in the area.
In the state of California alone, as stated by one study, there is an estimated 81,000 additional direct, indirect, and induced jobs as a result of legalized marijuana sales. That same study also projects an increase in total labor income by at least $3.5 billion!
While the aforementioned studies looked at the California as a whole, it is easy to see why Cannabis Connection would choose Canyon Lake as it’s first location for a dispensary. Located outside of Temecula and nearby Lake Elsinore, the Canyon Lake community is growing, welcoming, and deserving of a legal marijuana dispensary for it’s citizens.
Investment Opportunities & Saved Money
Legal marijuana presents the opportunity for huge investment returns. Local area investors can help boost, and diversify, their investment portfolios by way of partnering with start-up dispensaries and nurseries. However, while marijuana is still considered illegal at the federal level, it is difficult for investors to capitalize on the growth of the industry. On the flip-side, the Biden administration and Congressional Democrats released news this week plans to decriminalize marijuana at the federal level. So, if you’re an investor looking to get into the legal marijuana industry, the time is now! Contact us to learn more about partnering and investment opportunities for our Canyon Lake Dispensary location and future dispensary locations.
As many investors will tell you, it is important to consider not only the revenue to be made through investing, but also the money saved. At a federal level, marijuana enforcement costs billions of dollars per year. The more states that legalize cannabis, the lower the cost of law enforcement becomes; this cost drops considerably more if/when cannabis is decriminalized on a federal level. Taking it a step further, if/when marijuana is removed from the federal controlled substances list, fewer cases go to court, which results in fewer incarcerations, and in turn leads to more money saved…nationally, statewide, and locally.
When it comes to saving money for consumers, it is basic economics. As cannabis and marijuana are legalized in more and more states, the price of the products will likely drop as a result of commoditization. While this may seem counter-intuitive to our previous point about raising tax revenues or companies looking for high ROI on their investments in the marijuana industry, individuals using marijuana based products for treatment and self-medication stand to benefit considerably from lower prices.
Cannabis Connection: Marijuana Dispensary in Canyon Lake, California
Cannabis Connection is looking to become the first marijuana dispensary in Canyon Lake, California. We are proud to be a part of this vibrant community and offer top-of-the-line sativa, indica, hybrid, edible, tincture, concentrates, drinks, gear, and pipes for our customers. Contact Cannabis Connection today to learn more or take the Canyon Lake Dispensary Survey to provide feedback to the local government about why you want a dispensary in the area.