Marijuana Legal, But Illegal Sales Continue In Colorado

3
Marijuana Legal, But Illegal Sales Continue In Colorado
Image credit: Wendy McCormick

The first stores legally selling marijuana in Colorado opened earlier this year, but that doesn’t mean the black market has suddenly shut down. Police claim that illegal sales and drug-related violence are still rampant despite legalization.

Play Quizzes 4

“[Legalization] has done nothing more than enhance the opportunity for the black market,” said Lt. Mark Comte of the Colorado Springs police vice and narcotics unit, (h/t Cheryl Chumley at The Washington Times). “If you can get it tax-free on the corner, you’re going to get it on the corner.”

How Value Investors Can Win With Tech And “Fallen” Growth Stocks

Valuation Present ValueMany value investors have given up on their strategy over the last 15 years amid concerns that value investing no longer worked. However, some made small adjustments to their strategy but remained value investors to the core. Now all of the value investors who held fast to their investment philosophy are being rewarded as value Read More

Colorado Amendment 64, which legalized recreational marijuana use in Colorado, was signed into law last year, but legitimate businesses still only had about six months to set up shop. Since importing from another state would be a Federal crime, the amendment had provisions for licensing suppliers, testing facilities, and anything else needed for a self-contained industry.

It’s debatable whether the new shops actually have a competitive advantage over someone selling drugs on the street corner. Not being able to get shipped off to prison is a nice perk, and they might save money on legal fees, but they also have to pay taxes and deal with regulators.

Advocates say this is just a transition

Marijuana legalization advocates say that it’s just a matter of time before buyers change their habits and start buying from legal venues and that we are really just witnessing a transition. For someone who has been buying illegally from the same dealer for years, it probably doesn’t make sense to find someone new now that the law has changed. IF anything, the risk of getting caught is even lower than the risk they are already accustomed to. The black market, for its part, could probably be incentivized to go legit with a heavy crackdown on dealers.

Marijuana legalization may spread to DC

Attitudes toward marijuana have been changing for years, with medical use being decriminalized first, followed by legalization (even for recreational use) in Colorado and Washington state, and there is a move to legalize it in Washington DC as well, reports Aaron Davis for The Washington Post. If Colorado and Washington can manage the transition without too many problems, the promise of more tax revenues and savings from reduced incarceration rates (not to mention the harms caused by unnecessary incarcerations) could be enough to persuade the rest of the country to take give the subject another look.

Updated on

Michael has a Bachelor's Degree in mathematics and physics from Boston University and Master's Degree in physics from University of California, San Diego. He has worked as an editor and writer for several magazines. Prior to his career in journalism, Michael Worked in the Peace Corps teaching math and science in South Africa.
Previous article How To Hide The Page View Count On Your Google+ Profile
Next article Google Inc Tightens Grip On Most Apple Inc. Users

No posts to display

3 COMMENTS

  1. The problem here in Colorado at least is the cost at the pot shops. The cost is so high it is driving people right back to the black market. Colorado voters approved a tax increase that jacked the taxes up to 25%, adding to the problem. I’ve long told the people I know who smoke that simply decriminalizing weed was a better way to go. With legalization, you now factor in greed, the inevitable obnoxious politicizing of pot (which like everything else in America is now a “liberal” or “conservative” issue), and the cumbersome mechanization of regulation. Still, the utter and complete failure of pot criminalization over many
    decades of futility must be considered in evaluating the fledgling
    industry.

  2. Hmmm…seems to me I remember that the idea was first, that no one should be criminalized for a harmless herb, and second, regulation and State approved sales could be a useful source of revenue. But now, we’re talking about a crackdown on the same non-violent people because this “revenue stream” may be threatened. Now, if the penalties were like those for other unlicensed businesses (generally fines and a cease and desist order) I might be sympathetic to them. But they’re not. They are felony crimes with hefty sentences.

  3. We are a nation of people that will drive across town to save 25¢ so as long as politicians try to refill state coffers off marijuana users there will be a black market,,because legalization is being “regulated” to make money instead of taking control of a market that already exists..

Comments are closed.