Cannabis May Become Legal In More States In 2020
In 2020, more states may legalize cannabis use. The potential list includes Florida, New Mexico, New Jersey, New York, Arizona, Montana and Arizona. Regulated adult use cannabis legalization by state this year subject to voter approval.
Cannabis Legalization By State
Votes are targeted by both proponents and opponents of the measure. Arguments for legalization are that the population should be free to choose on the merits and that regulation of cannabis would make it safer and provide taxes to the government.
But opponents argue that making cannabis legal, besides being simply against it, has other ripple effects. These include possible higher car insurance rates within the state from an anticipated spike level of damage resulting from cannabis-related accidents.
Media Coverage
stockmarketpress.com is a media company which is spotlighting the cannabis industry analyzing how cannabis legalization by state in 2020 could impact companies and investors. Some of the stocks it recently reported on include CBD Unlimited, Inc. (OTC PINK: EDXC),), Aurora Cannabis Inc. (NYSE:ACB) (TSX: ACB), Supreme Cannabis Co. (OTC: SPRWF), The Green Organic Dutchman (TSX: TGOD) (OTCQX: TGODF), OrganiGram Holdings Inc. (NASDAQ: OGI) and Canopy Growth Corp. (NYSE: CGC).
Newspapers, magazines and online news services focus on the pros and cons of cannabis legalization by state in this and future years. Articles address the trade off between regulating and profiting taxies from cannabis sales versus having a multitude of cannabis-selling stores in what is still a primarily cash industry.
Higher Insurance Costs
Cannabis legalization by state is a complex issue with some people concerned about making it so easy to obtain adult use recreational cannabis. They believe that higher insurance costs will outweigh the benefits of greater tax flow revenue.
There is little track record on cannabis legalization by state and testing on how cannabis affects humans remains in its earliest stages. Medical studies are still primarily short term, not long term, so state populations are being asked to approve legalization short of all the facts.
Prohibition Parallel
Some argue that keeping cannabis illegal is similar to prohibition years back on liquor. Not only did that cost the government tax revenue, it spawned an industry in the shadows of bootlegging and sparked gangster activity. Illegal alcohol was a drawing feature at ‘speakeasy’ clubs and discreet casino parlors. If you couldn’t buy it legally, liquor was more valuable to some.
When liquor was finally available again legally, the bootlegging industry was ended and tax revenues began flowing again. Cannabis legalization by state may be similar. Legal adult use recreational cannabis may lose some allure when it is legally available. To date, some locations remain ’dry’ for both cannabis and alcohol. Even casino gaming is a controversial issue. Again, the matter of the ripple impact against tax benefits is a key issue.
