The cost of marijuana is slowly but surely going down. Of course, it depends on whom you ask, because some claim the price of marijuana is on the rise—even in trail-blazingly legal Colorado. This is all a function of a growing market, as marijuana shops try to find the market’s equilibrium price.”
On the other hand, we also hear that pot prices are increasing—by as much as 5 percent. An investment analyst who prefers to remain nameless stated that “since legal recreational marijuana is a relatively new industry, I don’t think anyone can profess to have a good pricing model just yet.”
As for medical marijuana, some analysts looking to see prices rise regardless of the ever-growing supply. “The price for cannabis medical extracts is rising because more patients and prescribing physicians are becoming more concerned about the consistency of supply and quality control,” stated Ziv Turner, founder and CEO of the Israel-based One World Cannabis. Not shockingly, the states where recreational marijuana is legal—or soon will be—enjoy the lowest prices.
The very fortunate stoners in Colorado got an additional bonus on September 16, the day that the state’s 10 percent sales tax was temporarily halted. rather, it’s due to an obscure provision in the state constitution’s “Taxpayer’s Bill of Rights.” That one-time, one-day tax break is projected to cost the state about $100,000. Then, starting in July 2017, the onerous sales tax will be slashed to 8 percent, as part of the state’s attempt to put people who with the illegal sales of marijuana out of business.
All of this is good for marijuana consumers in Colorado, yet how are the pot purveyors doing? Pretty damn good, as it happens: Sales of recreational marijuana this year have so far outpaced 2014 by about 150 percent. as last year, and one estimate projects that Colorado will eventually reap $480 million in revenues—a 50 percent spike in contrast to 2014.
To put it simply, we don’t know the “real” price of weed yet—and we won’t until marijuana is officially legal in all 50 states, with at least some uniformity to regulations and tax regimes.
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