Over the years, laws regarding medical marijuana have been evolving. The progress in legalizing marijuana is praiseworthy and happening quickly. More than half of the states in the US have approved its legalization, and the rest of the world is following suit. This development is based on valid reasons and logical considerations.
People around the globe are using marijuana for either recreational or medical purposes. Numerous studies highlight the impressive effectiveness of marijuana in treating specific medical conditions. Numerous journals discuss the health benefits of cannabis. However, besides its positive impact on health and medical treatments, the marijuana industry has also greatly contributed to our economy.
Many people mistakenly view marijuana as solely for recreational purposes. But this incredible plant is much more than that. The truth is, both recreational and medical marijuana have played a significant role in boosting the global economy. According to Forbes, the international marijuana market is currently valued at $7.7 billion and is projected to grow at a rate of approximately 60% in countries where marijuana is legal. The Brightfield Group, a research firm, predicts that the global marijuana industry will reach $31.4 billion by 2021.
Considering the presented numbers, let’s explore the importance of weed and how it can benefit the economy.
Legalizing marijuana opens up new opportunities for investors, allowing them to diversify their portfolios. Many investors are already capitalizing on the growth of the cannabis industry. Numerous companies involved in the cannabis business are trading publicly on stock exchanges. As the number of investors increases, the industry continues to grow.
The national rise of the cannabis industry enables companies and business owners in this sector to list their stocks on all US exchanges. This improves liquidity and provides access to a larger pool of investors.
The progress of the cannabis market leads to the creation of more jobs and income opportunities. The industry requires a significant workforce, from cultivation and harvesting to distribution and customer service. Additionally, dispensaries and marijuana shops need employees to develop new strains and serve patients.
The cannabis industry is known for its job creation potential, contributing to economic activity. According to New Frontier, legalizing cannabis at the federal level could generate over 1.1 million jobs by 2025.
The industry also creates indirect job opportunities, such as in financing services, software development, IT services, construction companies, and agriculture services.
Besides job creation and boosting the economy through increased investor participation, legalizing weed also leads to cost savings for patients and consumers. Currently, cannabis prices are often high, making it unaffordable for some patients and potential growers.
However, as marijuana legalization increases competition, prices become more flexible. This means that the cost of cannabis becomes more affordable, enabling more people to grow and consume medical marijuana.
As the industry expands with more users, more fees and taxes are collected, leading to further economic progress and development.