Op-Ed: Why legal weed is losing the war to illegal weed

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Op-Ed: Why legal weed is losing the war to illegal weed (via latimesopinion)

The market for legal weed is growing. But in California, as elsewhere, it faces serious challenges.

Legal-weed businesses must also register with the state every gram of weed that’s grown, sold or transferred between locations through a complicated “track-and-trace” system. Managing this process alone can cost tens of thousands of dollars per month in software and labor costs. Of course, none of these costs are faced by illegal-weed producers or sellers.

Add up all these licensing costs, taxes and regulatory burdens, and we estimate that California consumers often end up paying about twice as much for a package of legal weed as for a comparable package of illegal weed. Regulations and taxes are not free. Far from it. In California, many of the operations that made a good-faith effort to go legal and follow the rules have gone out of business from underestimating their costs or overestimating the size of the legal-weed market. A legal system works well when people and businesses are rewarded, not punished, for following the rules.

The best way forward is for policymakers to take a practical view about the real-world effects of regulations and taxes. Some careful cost-benefit analysis could yield a set of pared-down regulations that maintain the most effective health and safety rules while loosening up on some unnecessary restrictions that are strangling the young industry before it is up and running.

 

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opinion Never brought legal Never will I grow my own

opinion I think education needs to be what folks focus on doing … and think the ridiculous you have to be in this club to get this strain or quality is posh.

opinion D'uh. Of course the system was going to be set up for corporations to take over.

opinion Another issue that local govts prohibited legal dispensaries, while loosely enforcing the rules against illegal ones. See the entire SGV. So it became fertile ground for illegal dispensaries, who had no problem operating illegally with the occasional tax (police seizure).

opinion I’ll take spending a bit more and buying from a Armenian dude calling me bro from behind a counter than getting into a car with a stranger to go get something that might be laced with pcp any day

opinion laurafriedman43

opinion 🚬🥴

opinion I sold weed for years… illegal weed sales are much riskier and end up with a higher cost often 2x or more than what’s found in a dispensary. Also, I’ve never found an illegal dealer who sells cartridges or concentrates (only hash, edibles and keif) This article is BS

opinion of course - people don't like 25% going to who knows where?

opinion Might have something to do with your dealer not hitting you up with sales tax. '.... that'll be $63.87 my man, you have my loyalty card...?'

opinion cause they taxing so hard?

opinion Answer: because greedy politicians overtax it and make it too expensive for consumers, so the consumers go to the BM. Government caused problems as per usual

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