Legalizing Marijuana, Essay Example

Introduction

Marijuana should be legalized throughout the whole country because the legalization would bring economic benefits. These include creating new jobs, tax revenue, and even freeing past marijuana offenders in jail. The legalization help economically will help many people medically, for people in states where Marijuana is illegal medically, and recreationally tend to incur substantial effects that could be avoided by legalizing Marijuana. However, Marijuana poses some dire consequences accrued from its uses, including some that directly affect our bodies. The key to legalizing Marijuana is its economic benefits, which raise the financial status of the country. This is due to the large economies of scale brought about by the production, manufacturing, transportation, and consumption of Marijuana.

The Benefits of tax revenue

The first economic benefit of Marijuana is the realization of tax revenue. Tax revenues obtained from the sales and purchases of Marijuana have resulted in tremendous impacts on the United States of America’s economy. The police, who form the part of the law enforcement agencies, have benefited a great deal. Nevada police have benefited from Marijuana taxes as the taxes are used to pay the police as they maintain law and order. Furthermore, Marijuana taxes in Colorado are used in funding rehabilitation programs and diversion; thus, these are projects under the police’s full administration. They also use taxes to fund the construction of public schools. The revenue aids Alaska in correctional funding programs, which are anticipated to reduce drug-based criminal offenses. In California, the payment is used to fund administrative expenses perpetuated with the legalization of Marijuana. It is also used for developing the economy and funding education and outspoken programs to counsel the youth.

Marijuana revenue in Illinois is used to fund administrative costs and support the systems of criminal justice, such as programs addressing drug and substance abuse. In Maine, the revenue from Marijuana is used to fund programs on public health. Also, it is used to fund training programs offered by law enforcement agencies. In Massachusetts, Marijuana taxes are used for funding programs on public safety. Michigan uses the revenue on transportation, conducting local government transfers, and education. In Oregon, the payment is used to fund educational programs addressing prevention of drugs and possible treatments and support the local government. Washington uses the revenue in facilitating programs managing healthcare.

How to get tax revenue

Marijuana taxes are obtained in two fundamental ways; imposing taxes as excise taxes and imposing taxes on retail sales. Excise taxes are levied by the process where distributors conduct sales to the retailers. Additionally, transferring Marijuana from the distributor stalls to the retail stores incurs some cost, which constitutes the excise tax. Taxes on retail sales are accrued when individuals purchase Marijuana from the seller. Therefore, the incidence of taxation in this juncture is indirect because it first has to be facilitated by the retailers, then it is achieved by the government.
How tax revenue increased in legal states

There are ten states which have legalized Marijuana. Seven states actively collect taxes and conduct regulation in production stores gaining revenue. The legal states have presented a tremendous achievement due to driving Marijuana sales and purchases since they made a positive deviation of approximately 10% to 37% in taxes than the taxes imposed on the local sales (Niall, 2018). Colorado legalized Marijuana in the year 2012. Colorado attained a significant increase in state revenue accrued from the sales of Marijuana. The state of Colorado imposed taxes, both retail sales tax and excise tax. Both taxes were at an average rate of 15% of either the costs or the sales. Annual taxes of Marijuana accrue high revenues in Colorado. The effectiveness of the law legalizing Marijuana in Colorado generated a revenue of $67.5 million. 80% of this revenue is marked to be aligned to the aggregate value in the market. There is a tax imposed on cultivation that charges prices ranging between $1.35 to $9.65 on one ounce at a time. By the year 2019, the tax revenue on Marijuana in Colorado was approximately $302 million, while the current fiscal balance stands at $1.03 billion.

In Washington, an excise tax is imposed on an average of 37% of the sales made on Products having marijuana contents. In the year 2018, the revenue from Marijuana was at $367.4 Million at the end of the financial year (Statista, 2019). By the year 2019, the revenue collected from Marijuana taxes persisted at $395.5 million. This is inclusive of the sales and purchases of Marijuana. The lifetime tax revenue for Marijuana stands at $1.33 billion.

Marijuana was legalized in Oregon in the year 2014. In Oregon, a retail tax of 17% is imposed on sales of Marijuana products. The revenue received in the year 2016 was approximately $20.6 million. By the year 2019, the income accrued from marijuana sales was at $102.1 million. The revenue increased in the subsequent months to annual revenue of $275.2 million.

In the state of Nevada, an excise tax of 15% was charged towards cultivators. This was marked to be congruent to the value of the average market. As of 2018, the revenue from marijuana sales was $69.7. By the year 2019, the tax revenue on Marijuana rose to $99.2 million (Morin, 2019). The lifetime revenue from marijuana taxes is $167.1 million.

The state of California imposed an excise tax of 15% on marijuana products sold. The tax is marked to 80% to fit the average market price. By the year 2018, California raised an annual revenue of $ 395.3. The revenue rose to $629.3 million as of 2019, which was a positive deviation.

The state of Massachusetts imposed both sales and excise taxes. 6.25% is charged on the excise tax, while the sales tax is 10.75%. By the year 2019, the revenue collected was $6.7 million. The Michigan state promulgated to charge 6% on sales tax and 10% on excise tax with the aid of the treasure department.

The state of Alaska imposed cultivation taxes, which ranged between $15 and 50$. The retail sales faced a sales tax of 5% on Marijuana sales. By the year 2019, the revenue earned from marijuana sales was at $22.1 million.

Saving from the criminal justice system

More money for budgets

The criminal justice system benefits greatly from the legalization of Marijuana in the US. Initially, the costs incurred when arresting individuals in possession of Marijuana cost approximately $1.19 billion to $6.03 billion (McGity et al., 2016). This included judicial, police, disciplinary, and legal expenses imprisoning the lawbreakers attributed to Marijuana in the US cost approximately $600 million annually.  According to Dills et al. (2017), the initial legalization of Marijuana would have saved the criminal justice estimated $7.7 billion to 13.7 billion in every fiscal year. To protect from wastage of budgetary allocations, the police should instead focus on other sophisticated crimes emanating sexual violence and other criminal cases. Many states saved vast amounts of money after the legalization of Marijuana; for instance, Washington evinced a higher reduction in the number of arrests. The number of arrested offenders decreased from 5,531 to only 120. It was evinced that the law enforcement agencies spent a lot of time looking for Marijuana possessors at the expense of focusing on national security. Therefore, after the legalization of Marijuana, most states invested in ensuring civilian security at the cost of the now legalized marijuana consumption.

Less crowded jails

A significant number of individuals arrested due to drug and substance abuse were those in possession of marijuana or marijuana products. The decision to legalize Marijuana brings notable impacts to the correctional units in the US. All the offenders with Marijuana-related cases are going to be set free. Therefore, there will be reduced numbers of offenders in prisons well manageable by the correctional units in law enforcement agencies. The key to freeing marijuana offenders is that there will be optimal exploitation of the prisons’ limited resources. Hence, the tax levied from the sales and purchases of marijuana products will focus on investing in other essential programs, such as providing educational programs addressing the youth on the responsible handling of drugs to counter drug abuse.

Impact on justice

The legalization of Marijuana in the US will provide justice to individuals who have undergone oppression for a long time. Racial inequality is much solved concerning marijuana consumption. Initially, there was a notable disparity regarding race when marijuana laws were being enforced. This was evinced by the fact that the black person was prone to be arrested, even though the white person’s consumption rate was similar. For instance, in Lowa, which is characterized by increased racial inequality levels, the black had more chances of getting arrested than the whites for the possession of Marijuana (Behnken, 2018). Besides, the span to serve sentences were unfair because the blacks served long sentences compared to the whites. Therefore, convictions accrued from Marijuana can increase the freedom of individuals, regardless of color. The attainment of reduced racial inequality enables every individual to access fiscal aids relating to jobs and schools. The time charged to criminal offenders is improving after the legalization of Marijuana. Therefore, legalizing Marijuana will help in fixing the gap in racial disparity.

Medical reasons

Helps people with diseases

Marijuana is also consumed for medical reasons. The key to the medical role played by Marijuana in the US is to control pain. The process of managing weight loss and nausea requires the application of Marijuana. Moreover, the treatment of glaucoma requires Marijuana in prescribed quantities. Marijuana helps in anxiety reduction when used in limited amounts. This is because cannabis counters anxiety by inducing the endocannabinoid system. Also, Marijuana helps in reducing inflammation in painful parts of the body. Marijuana is known to terminate cancerous cells and combats the notable growths of a tumor. Furthermore, Marijuana accelerates the gaining of weight and induces appetite in AIDS or cancer patients. Marijuana helps in the relaxation of tightened muscles.

How to use it

The compounds of Marijuana encompassing delta-9-tetrahydrocannabinol (THC) serves as nausea and pain relievers (Nilges et al., 2019). THC also reduces inflammation in the body. The other compound of Marijuana is cannabidiol (CBD), which is used to counter paranoia and anxiety together with treating seizures (Kenyon et al., 2018). Marijuana for medicinal purposes is either consume as edibles or inhaled. Marijuana, which is smoked, impacts HIV patients by generating appetite. Vaporized Marijuana is used in treating the pain associated with damaged nerves.

Others

Legalizing Marijuana reduces the tendency to which teens abuse the drug. This is because of the falling rates of young people consuming Marijuana as compared to the rising numbers of adults using the drug (Evanoff et al., 2017). The decrease in accrued after numerous campaigns have been conducted on responsible usage of drugs and the restriction policies of 21 years and above. The legalization process raised more adults’ spirits to consume Marijuana as the young teens focused on education since there were funds accrued from marijuana taxes. Regulations were also passed to restrict kids from getting exposed to Marijuana through advocating for packaging, which is child-resistant.

Consumer safety is achieved by legalizing Marijuana. The government will pass consumer protection policies to ensure that the end product of Marijuana sold to the public attains the standard requirements, including lab tests and detoxification of the product. Washington has a fundamental law that ascertains that marijuana products sold to consumers have correct labeling of Tetrahydrocannabinol (THC), proper warnings on health, and expected quality. The legalization of Marijuana provided an excellent platform for the government to impose age restrictions on buyers. The producers, distributors, and sellers of Marijuana are expected to be licensed, and this provides a reliable flow of products that are of the desired quality. The state of California has policies that limit the prescribed sizes of marijuana products that can be consumed. Retail stores are subjected to full-time surveillance to avoid potential biases.

Legalizing Marijuana provides the availability of job opportunities. The art of creating jobs for many jobless youths in the US is of vital economic importance from the legalization of Marijuana. Workers are expected to cultivate Marijuana, and therefore more people will be hired or employed to work in the firms. The transportation from the farms to the industries requires more drivers to be hired. The industries where Marijuana is processed is a job opportunity for those with industrial skills. Also, Marijuana provides a ready market for distributors, suppliers, and the sellers themselves. Hence the revenue collected from all these processes generates revenue for the country. Whenever more people become employed, the living standards become favorable as the poverty levels are decreased.

Legalizing Marijuana will get rid of black markets and drug cartels. Before the legalization of Marijuana, most individuals participated in distributing the drug in ways that the government could not trace. Most drug cartels hired street gangs to conduct the sales and mostly corrupted the law enforcement agencies not to be arrested. The cartels acted as monopolies because they dictated the prices imposed on Marijuana according to different quantities. However, when Marijuana was legalized, the state governments participated in fixing prices that are fair to the consumers and need licensing. Therefore, cartels are removed to bring in fair competition among the business operators of Marijuana. Street gangs are reduced since they no longer need to hide to conduct sales of Marijuana. Therefore, there is an excellent reduction in crimes.

The legalization of Marijuana has resulted in reduced traffic accidents characterized by causes of driving under the influence of drugs (Wu et al., 2020. This is because drivers no longer need to hide in their vehicles when consuming Marijuana for fear of being arrested. The legal nature of marijuana consumption brings about order in terms of consumption because individuals can consume the drug in designated areas. Therefore, the reduced accidents accrued from the influence of Marijuana enables the states to delegate the money intended for medical use for accident victims to other essential functions such as supporting education.

The legalization of Marijuana brings about independence and autonomy. Initially, the government could regulate the types of drugs to be consumed. For instance, any notable traces of Marijuana could lead to possible arrests. Nonetheless, after Marijuana was legalized, individuals could choose whether to consume Marijuana or not due to the consequences presented by the law enforcement bodies. Therefore, individuals have the right to destroy the drug at any given time. This is drawing significant impacts on the economy because many people can buy marijuana products in large quantities and expand the economies of scale where Marijuana is operated.

Legalizing Marijuana meant that the drug has relatively low effects on human health compared to alcohol and tobacco. Therefore, there was a decreased number of individuals with Marijuana-related problems in hospitals since individuals could consume the drug in manageable quantities. This reduced the burden of investing extensively in medical prescriptions to treat sick individuals as a result of Marijuana. The resources were then used to fund critical administrative projects.

References

Dills, A. K., Goffard, S., & Miron, J. (2017). The effects of marijuana liberalizations: Evidence from monitoring the future (No. w23779). National Bureau of Economic Research.

Evanoff, A. B., Quan, T., Dufault, C., Awad, M., & Bierut, L. J. (2017). Physicians-in-training is not prepared to prescribe Medical Marijuana. Drug and alcohol dependence, 180, 151-155.

McGinty, E. E., Samples, H., Bandara, S. N., Saloner, B., Bachhuber, M. A., & Barry, C. L. (2016). The emerging public discourse on state legalization of Marijuana for recreational use in the US: Analysis of news media coverage, 2010–2014. Preventive medicine, 90, 114-120.

Kenyon, J., Liu, W. A. I., & Dalgleish, A. (2018). Report of objective clinical responses of cancer patients to pharmaceutical-grade synthetic cannabidiol. Anticancer Research, 38(10), 5831-5835.

Morin, R. (2019). Nevada: Solid Economic Performance. California Journal of Politics and Policy, 11(1).

Niall, M. (2018). “Which states made the most tax revenue from Marijuana in 2018?” Infographic.

Nilges, M. R., Bondy, Z. B., Grace, J. A., & Winsauer, P. J. (2019). Opioid-enhancing antinociceptive effects of delta-9-tetrahydrocannabinol and amitriptyline in rhesus macaques. Experimental and Clinical Psychopharmacology.

Statista. (, 2019). Washington State Liquor and Cannabis Board. Retrieved online from https://lcb.wa.gov/sites/default/files/publications/annual_report/2019-annual-report-final2.pdf

Wu, G., Wen, M., & Wilson, F. A. (2020). Impact of recreational marijuana legalization on crime: Evidence from Oregon. Journal of Criminal Justice, 101742.