California should legalize marijuana
74California Marijuana Legalization
Legalizing Marijuana will Benefit California’s Economy
The State of California is considering a bill that would legalize the personal use of marijuana. Legalizing marijuana in California would benefit the state’s economy by providing additional tax revenue while freeing up funds currently used for law enforcement. The state’s most valuable agricultural commodity currently contributes no direct tax revenue, and is in fact a net drain on the economy due to the costs associated with its legal classification as well as the detrimental effect on the personal economics of those who are prosecuted for its use. Although opponents of the bill cite evidence that legalization will lead to more widespread use, addiction, and presumably higher associated treatment costs, the preponderance of the evidence makes it clear that legalization will be of great economic benefit to the state.
With an estimated value of 14 billion dollars annually, marijuana is California’s most valuable cash crop (Gieringer, MercuryNews.com) but produces no direct tax revenue in a state facing severe budget shortfalls. The estimated tax benefit from its legal sale amounts to 1.3 billion dollars (Stateman). Legalization would also have the economic benefit of all legal businesses including payroll and business taxes plus support businesses such as suppliers and distributors. These associated industries are estimated to have a total economic impact of 12-18 billion (Gieringer, CANORML).
Instead of taxing this product, California currently spends 170 million annually to arrest, prosecute, and incarcerate marijuana users. Although it is difficult to quantify, there is certainly an additional cost to be found in the damaged lives of otherwise law-abiding citizens who have been prosecuted for personal marijuana use.
Opponents of legalization cite evidence of addiction leading to psychiatric problems and their resultant costs as arguments against legalization. Kevin A. Sabet, a senior drug policy adviser in the Clinton and Bush administrations argues against legalization in an article published in the Silicon Valley Mercury News. He asserts that legalizing marijuana will lead to increased use and addiction and the resulting treatment costs will more than offset any gains in tax revenues. (1)
Unfortunately, in an argument purporting to refute the economic benefit claims of the legislation’s supporters, Sabet does not support his assertion with any economic statistics, but does cite one study linking marijuana use with schizophrenia. His argument is dependent on two assertions which are difficult if not impossible to prove: There is a proven link between marijuana use and psychiatric illness, and criminalizing marijuana leads to a decrease in its use.
The economic benefits are promising. Prohibition has been tried and has failed. The State of California should reform its marijuana laws to turn a drain of resources into a positive flow.
Works cited:
Gieringer, Dale “Marijuana Legalization Could Yield California Taxpayers Over $1.2 Billion Per Year” California NORML report. February 2009. 16 April 2009. <http://www.canorml.org/background/CA_legalization2.html>.
Gieringer, Dale. “Opinion: Legalize marijuana and reap the revenues for California.” MercuryNews.com. 1 March. 2009. 16 April 2009 <http://www.mercurynews.com/ci_11816324?IADID=Search-www.mercurynews.com-www.mercurynews.com>.
Sabet, Kevin A. “Opinion: California can't afford to legalize marijuana.” SiliconValley.com. 7 March. 2009. 15 April 2009 < http://www.siliconvalley.com/ci_11864334.>
Stateman, Alison. “Can Marijuana Help Rescue California's Economy?” Time.com. 13 March. 2009. 17 April 2009 <http://www.time.com/time/nation/article/0,8599,1884956,00.html?iid=digg_share>.
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It is a shame that someone can be sent to prison for a victimless crime.
You make a compelling argument. It's clear the so=called "war on drugs" is a drain on our state's precious resources. And while weed can be a gateway drug, not all use leads to abuse or addiction. If the government is going to regulate it in order to get the tax benefits, I think it could have beneficial effects. California definitely needs the revenue. And there are a lot of other things our law enforcement officers could be focusing on. Thumbs up!
Good arguments. I wouldn't say that it's always a victimless crime, as some people have been hurt or affected by pot use, but overall there are many financial benefits... especially not as much money going toward incarceration for usage or selling, just so long as it's not to minors.
I agree that it should be legalized, but not for tax reasons. The government has no business telling anyone what they can, or cannot put into their body, whether it hurts a person or not. I'm sick to death of "government as parent". If you're of age, it's up to you to take responsibility for yourself, your life, your actions. If you want to know the ill (or good) effects of something, research it.
Good article on a pertinent topic - thanks.
X, I agree whole-heartedly. Economic benefit is not the only or even the best reason for legalization. It may however be the political cover necessary to finally clear the hurdle. Thanks so much for your comment
So true. "Political cover" is the world's biggest two-edged sword.
should have happened long ago.
Yes, too many people have had their lives thrown into turmoil by committing a victimless crime.
Not only a recreational product.... Hemp and sativa products such as paper and clothing could provide more jobs and tax revenue.
*looking around* why hasn't GT been here? LOL
I agree.
Toads prefer mushrooms
LOL....he'll be around....
I only hope California doesn't allow it. Not a recommended drug. Nice hub though.
I completely agree . .and think you should add New York to this list ;))))) I once heard the the cigarette companies are all ready to 'roll' with the marketing and packaging . . hey with what is going on with the cigarette situation these days. .legalization may start to be a reality. . I just pulled that thought out from left field but it kinda makes sense. . something i rarely make .. unless talking football of course:)
I agree, it's time for cannabis to become legal again.
As I always say--if it was good enough for your founding fathers, it's good enough for you.
Without it, there may never have been The Constitution. ;)
Or the Declaration of Independence.
-Printed on hemp.
I agree whole heartedly. My friends and I have been talking about this for some time now and I'm happy to see that there are many others who feel the same way :D with works cited included! Good job!
I just posted a hub on this topic. The numbers I have heard for tax revenue are smaller than yours, but I agree that legalization is probably better than the status quo. Reducing the strain on jails and law enforcement is reason enough.
The hub is over a year old, and yes more recent estimates project less tax revenue.
Well if the numbers are correct or even close then pot should definatly be legal and taxed. Emagine that if California who suggests that the revenue would be 1.4 billion a year, revenue is profit right? Ok so they legalize it, the profit from the first year would go into a fund, at the end of the year divide every person who bought pot and paid the tax into that and send them a check for half, like the stimulus checks, then divide every other person living there that was born in the usa into the remaining balance and send them their checks everyone in California would be rich. After the first year the government then could use the profit to help its economy. What would Californias economy be like if no one was poor? At least those that were born in our great country? Then do that in all other states, what the hell, they can wait one year before taking the profits. 1.4 billion in profit, 40 million or so in population you do the math. after the first year the people wanting pot could even be able to afford it, how great would that be? No stealing to get pot money!!
Great article and information. I have a strong opinion and that is drug are here in the streets, and people that are going to get hooked, get hooked, what is the difference between that and alcohol? How well did prohibition really work. If we make all drug use legal, than we can take the tax money and set up more drug rehab places, our prison would decreases by 50 percent and there would be no drug wars. What is the point of all of the policing on them? I worked as a drug rehab counsel for years and believe me if a person wants drugs they will get the drugs legal or not legal!
This is a subject dear to my heart. Pot is the #1 cash crop in *many* states, not just California. The savings in revenue now wasted on enforcing this ridiculous law and housing offenders would put their budgets back in the black. Any taxes collected on the sale of pot would just be additional gravy.
It's a given that those who insist pot should remain illegal have never experienced PermaGrin or inhaled a 2-lb bag of Oreos. Or noticed that no one - I repeat NO ONE - has ever been killed by a driver high on (nothing but) pot.
Pot is only a gateway drug if the user has a predisposition to drug addiction. Otherwise, those who prefer pot over alcohol (which gives me horrendous hangovers) should have legal access to it, or be free to grow their own if they're so inclined. Seems rather silly that people can make beer or wine in their basements, but can't legally grow a single pot plant *anywhere*. Puhleese...
earnestshub Level 2 Commenter 3 years ago
I agree. The biggest effect the war on drugs has created is on family life.