Economic Principles and the Economic Benefits of Legalizing Marijuana

The economic principles truly support the legalization of marijuana since the whole marijuana sales is a whole industry on its own. The numbers in the industry are so much and if they had to be documented then a good plan on how to capitalize on them can be designed. This paper is out to discuss the objective of the economic principles and the economic benefits of legalizing marijuana and also the effects of the economic concepts have on this agenda as follows: Objectives of the economic principle of legalizing marijuana. There are various economic principles that dictate how the business is run and it is possible to figure out why a marijuana industry can be intertwined in consideration of these principles for the benefit of any given country. Research done on the economic benefits of marijuana for any country that consider including it in its economic sector will be to the advantage in racking in a lot of revenue when it is organized properly (Anikin, 2017).

This continues to escalate the debt the government might be facing. Another economic principles that need to be considered for the legalization to be effected is the unemployment rate and also the inflation rate. Unemployment rate has risen in different countries and this is because of the economic difficulties in the country. Inflation which is the constant fluctuation of commodities’ prices is also one of the factor that need to be addressed by making the marijuana industry as effective as possible. It is in the interest of the government to make sure that its population is employed so that they can utilize them by taxing them so that they can make more revenues that will help the government invest in its projects to better the living standards of the people. Money should be scarce so that it can be able to maintain its value in the market.

The currency of any country rises when it is scarce since it is able stand against other foreign currencies (Feng, 2017). With this in mind then the government need to tap into new markets and industries since the already existing ones have already been exhausted. In economic sense any country that is printing a lot of money giving reasons that there is no money in the economy is prove of a failing economy and it should learn how to circulate the money by creating tackling procedures to make this go away. The regulation of this crop in the country and since it is a new industry than it will be effective and will increase the income for the government on a new level (Feng, 2017). The illegality of it is what makes it expensive and scarce.

When a good a good scarce its value and price increases tremendously as it is the case for marijuana (Feng, 2017). When the government steps in in this case and make it legal and provide policies that work for it then there is no need to have it at high prices. The medical marijuana for instance costs more too because of the need to actually sell it on legal platform in which they take small amounts though at higher prices since the ability to find it is not easy unlike in the black market. The black market is not open to avail it on the market since the policies the government are harsh to provide. As inflation affects the purchasing so is the need to have to increase the money in the account to beat this inflation.

Supply and Demand. Supply and demand is a concept where the market shifts based on different factors around. It is important that the curves created by the supply and demand is not the only thing to consider but also the willingness of the buyer and seller to agree on a price. The price is what changes when supply happens and also demand happens. The loss of revenues that could have collected in this case is what the tradeoff of the government. Time Value for Money This is also a common concept too in the sense that when having a dollar today is more rewarding than waiting for a dollar in the future. This concept factors in the unknown happenings of the future since inflation can strike and it will be useless to have that particular dollar tomorrow since it will be worthless.

This also applies for those governments who are not open to legalize marijuana for their economic benefits and better the living standard of the people. The future holds different aspects of how the trade of marijuana will be so it will be wise for the countries to legalize marijuana so that they can make profits from it rather than sitting back and waiting. Journal Of Economic Sociology, 18(4), 120-159. doi. org/10. Caulkins, J. Kilmer, B. ssrn. Gundersen, D. The Legalization of Marijuana: Implications for Regulation and Practice. Journal Of Nursing Regulation, 6(3), 34-38. doi.