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5 Things You Didn’t Know About the Canadian Marijuana Economy

Canadian Prime Minister Justin Trudeau introduced legislation to legalize recreational marijuana throughout the country, which plans to be in effect on Canada Day (July 1) 2018. Now, many experts have predictions for the economy as a result of the cannabis industry becoming legal. Even though the industry is expected to be worth $22.6 billion a year, the federal government is mainly focused on taking the drug out of the hands of children and getting rid of the unregulated black market. With this goal in mind, the legalization of marijuana will see excellent sales, which will affect Canada’s economy in many ways.  

Canada’s nationwide legalization will give the provinces the right to decide how the marijuana is distributed and sold locally. The difference in regulations across Canada will affect each local government depending on whether some provinces choose to stock cannabis alongside liquor or choose to operate privately owned cannabis shops like dispensaries. In order to successfully get rid of the marijuana black market in Canada, taxes will start low in an attempt to compete against street prices before attempting to maximize federal revenue. Eventually the federal government will maximize its revenue to help fund addiction treatment, mental health services, and public health education as the industry grows.

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