While cannabis entrepreneurs face many obstacles generating big profit margins, thanks to over regulation and excessive taxes, the economic benefits are easy to see. Legal cannabis creates industry jobs and generate tax revenue that benefits state programs. However, the initial job and money numbers don’t reflect the true value that the cannabis industry brings to their communities as ancillary businesses also benefit.
Consultants, lawyers, contractors, architects, and others are employed to help set up the businesses, for instance. Accountants, human resource specialists, public relations experts, are also often needed. The list goes on and on and we now have some proof as to the scope of the economic benefits from a new study that has some very interesting results. Marijuana Moment got a sneak peek of the study:
To investigate the impact legalization has on the economy, researchers at the University of Iowa analyzed 9,810 corporations between 1991 and 2017, finding “a multitude of positive effects” after a state enacts medical marijuana laws.
“Firms headquartered in marijuana-legalizing states receive higher market valuations, earn higher abnormal stock returns, improve employee productivity, and increase innovation,” the authors said.
The study, which was reviewed by Marijuana Moment but has yet to be published, found that having cannabis laws on the books can unleash the previously untapped potential of employees and helps companies attract new talent.
The cannabis community shatters stereotypes one by one, virtually every single day. The more that the truth is revealed and the benefits of cannabis legalization are revealed, we move closer and closer to true freedom and equality. Once we get our regulations and tax code on track, we will be able to fully unleash the full potential of the plant.