A green wave? Mexico s marijuana market may be middling bostonglobe.com - get the latest breaking news, showbiz & celebrity photos, sport news & rumours, viral videos and top stories from bostonglobe.com Daily Mail and Mail on Sunday newspapers.
A Green Wave? Mexicoâs Marijuana Market May Be Middling
Lawmakers in Mexico are on the verge of legalizing marijuana, but economists and industry analysts warn against expecting much monetary benefit.
A marijuana plant at a protest in favor of legalizing cannabis in September.Credit.Carlos Jasso/Reuters
By Oscar Lopez
March 12, 2021
MEXICO CITY â Mexico, a country carved up by cartels for decades, is poised to take a major step in drug policy. This week, the lower house of Congress approved a landmark bill to legalize recreational marijuana, which would make it the worldâs largest legal market for the drug.
Marijuana Licensing Corruption SHARE
Fifteen states have legalized recreational marijuana and 36 states have legalized medical marijuana. As we move toward legalization across the nation, state policymakers should be learning lessons from the reforms we’ve seen so far.
One lesson is that ceding full control to local governments and allowing them to impose licensing in a discretionary and opaque manner is a recipe for corruption. The FBI issued a statement on the problem in 2019: “States require licenses to grow and sell the drug opening the possibility for public officials to become susceptible to bribes in exchange for those licenses.” The problem is not commonplace licensing for health and safety, it is putting tight and arbitrary caps on the numbers of business licenses approved.
Cato’s economic research examines federal, state, and local spending and tax issues from a limited government perspective. Specifically, Cato’s economic research explores the benefits of lower taxes, a significantly reduced federal budget, and less government involvement in market processes.
Economics | Cato Institute cato.org - get the latest breaking news, showbiz & celebrity photos, sport news & rumours, viral videos and top stories from cato.org Daily Mail and Mail on Sunday newspapers.