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RICIMP
PO Box 2602
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rimarijuanapolicy.org

 

Alternatives: Moving away from criminalization

In recognition of the shortcomings of prohibition, reformers have suggested two alternative policies: decriminalization and tax and regulate (T&R). Taxing and regulating the sale of marijuana is the state's best choice. Moving in this direction would stop the damage being done by marijuana prohibition every day to our communities and our budget. On the other hand, decriminalization would significantly reduce, but not eliminate, this damage.

Decriminalization
     Around the world
     Studies of decriminalization
Tax and regulate (T&R)
     Economic estimates of marijuana taxation revenue

Decriminalization

Although there are many different models of decriminalization, what they have in common is that marijuana remains illegal, but possession of small quantities is downgraded from a criminal offense to a civil offense. Decriminalizing marijuana in Rhode Island would help to reduce the number of non-violent offenders in our criminal justice system and somewhat curtail prohibition costs. However, limited resources would still be used to investigate and arrest marijuana distributors while other crimes remain unsolved. Only a T&R policy can create revenue and growth in addition to reducing costs.

Around the world

Decriminalization is a tried and tested policy. Modern democracies are increasingly choosing decriminalization over prohibition; the United States is falling behing the rest of the world on marijuana policy. The following geopolitical entites have all (at least) decriminalized the possession of small quantities of marijuana for personal, private use.

Nations
Albania de facto
Argentina 2009
Austria 1998
Belgium 2001
Brazil 2002
Chile 2005
Colombia 1994
Czech Republic 1992
Germany 1994
Italy 1990
Jamaica de facto
Luxembourg 2001
Macedonia de facto
Mexico 2009
Mozambique de facto
Nepal de facto
Netherlands de facto since 1976
Peru 2003
Portugal 2001
Russia 2004
Spain 1992
Uruguay 1974
U.S. States
Alaska 1975
Colorado 1975
Hawaii 2008
Maine 1976
Massachusetts 2009
Minnesota 1970s
Mississippi 1978
Nebraska 1979
Nevada 2002
New York 1977
North Carolina 1977
Ohio 1975
Oregon 1972
U.S. Cities and Counties
Eureka Springs, AR 2006
Fayetteville, AR 2008
Berkeley, CA 1973
Oakland, CA 2004
San Francisco, CA 2006
Santa Barbara, CA 2006
Santa Cruz, CA 2006
Santa Monica, CA 2006
West Hollywood, CA 2006
Mendocino County, CA 2000
Carbondale, IL 2004
Lawrence, KS 2006
Ann Arbor, MI 1974
Columbia, MO 2004
Missoula County, MT 2006
Seattle, WA 2003
Madison, WI 1977
Milwaukee, WI 1997

Studies of decriminalization

There is a growing concensus among experts that decriminalization does not lead to higher use of marijuana, as evidence by numerous studies on the topic.

"In sum, there is little evidence that decriminalization of marijuana use necessarily leads to a substantial increase in marijuana use."
National Academy of Sciences
Institute of Medicine
Marijuana and Medicine: Assessing the Science Base

"...reducing the penalties for marijuana has virtually no effect on either choice or fequency of the use of alcohol or illegal 'harder' drugs such as cocaine."
Connecticut Law Review Commission
Drug Policy in Connecticut and Strategy Options: Report to the Judiciary Committe of the Connecticut General Assembly

"There is no strong evidence that decriminalization affects either the choice or frequency of use of drugs, either legal (alcohol) or illegal (marijuana and cocaine)."
C. Thies and C. Register
The Social Sciences Journal
Decriminalization of Marijuana and the Demand for Alcohol, Marijuana and Cocaine

"In contrast with marijuana use, rates of other illicit drug use among ER patients were substantially higher in states that did not decriminalize marijuana use. The lack of decriminalization might have encouraged greater use of drugs that are even more dangerous than marijuana."
K. Mode
Journal of the American Statistical Association
The effect of marijuana decriminalization on hospital emergency room episodes: 1975-1978

"The available evidence indicates that the decriminalization of marijuana possession had little or no impact on rates of use."
E. Single
Journal of Public Health
The Impact of Marijuana Decriminalization: An Update

"The Dutch experience, together with those of a few other countries with more modest policy changes, provides a moderately good empirical case that removal of criminal prohibitions on cannabis possession (decriminalization) will not increase the prevalence of marijuana or any other illicit drug; the argument for decriminalization is thus strong."
R. MacCoun and P. Reuter
British Journal of Psychiatry
Evaluating alternative cannabis regimes

"Fear of apprehension, fear of being imprisoned, the cost of cannabis or the difficulty in obtaining cannabis do not appear to exert a strong influence on decisions about cannabis consumption... "
D. Weatherburn and C. Jones
New South Wales [Australia] Bureau of Crime Statistics
Does prohibition deter cannabis use?

"The different laws which govern the use and sale of marijuana do not appear to have resulted in substantially different outcomes if we view those outcomes solely in terms of consumption patterns."
Australian Institute of Criminology, and the New South Wales Department of Politics Marijuana in Australia, patterns and attitudes

"While the Dutch case and other analogies have flaws, they appear to converge in suggesting that reductions in criminal penalties have limited effects on drug use, at least for marijuana."
R. MacCoun and P. Reuter
Science
Interpreting Dutch cannabis policy: Reasoning by analogy in the legalization debate

Tax and regulate (T&R)

Under T&R, it is legal for businesses to grow, manufacture, and distribute marijuana as long as they report their revenues to the appropriate tax boards and follow marijuana regulations and other laws. A recent CNN report estimates tax revenues from Rhode Island marijuana to be $4.6 million per year - this is in addition to the millions saved in criminal justice costs.

A T&R policy will not only curtail criminal justice spending, but also eliminate the black market for marijuana. Criminal enterprises currently involved in marijuana distribution will not be able to bring their marijuana businesses to the legal market, and their absence will create jobs for law-abiding farmers, wholesalers, and retailers. This new market will be subject to regulations such as safety guidelines and minimum age restrictions - rules that can't exist under prohibition.

Other regulations will most likely include measures to prevent advertising for marijuana products as well as measures to discourage users from geting behind the wheel of a car, among many others. There is no reason that regulatory techniques currently used for alcohol and tobacco won't work for marijuana.

Interestingly, Rhode Island already has a tax on the books for marijuana. Due to marijuana's illegal status, though, the collected revenue from this tax is negligible.

Economic estimates of marijuana taxation revenue

Predicting tax revenue is a difficult task, and the lack of data on black market transactions makes doing so for marijuana all the more imprecise. Estimates by economists of potential tax revenue if the United States were to tax and regulate marijuana range from a conversative $6 billion to over $200 billion. We estimate that this corresponds to a range of $4.6 to $157 million annually if Rhode Island were to switch to a T&R policy.

Jon Gettman's report estimates $31.1 billion in tax revenue for all federal, state, and local governments in the US. Using a simple percentage method (by number of marijuana users), we estimate $8.6 million in tax revenues for Rhode Island based on this report.
Lost taxes and other costs of marijuana laws

Jeffrey Miron, Harvard economist, estimates a more conservative $4.6 million in annual tax revenue if Rhode Island were to tax marijuana sales.
Budgetary implications of marijuana prohibition in the United States

In his honors thesis for the Brown University Department of Economics, Max Chaiken effectively argues that Gettman and Miron's studies underestimate potential revenue from marijuana taxation. Instead, he calculates $211 billion in annual revenue for the entire United States. We estimate that this equates to $157 million annually for Rhode Island.
The other green economy: An estimate of the potential revenue generated by a legally taxex and regulated marijuana market.


   

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RI Statehouse

5/11/2010
Wall Street Journal
Loosening the reins

5/5/2010
Providence Journal
Marijuana bill debate renewed

5/1/2010
Sacramento Bee
Viewpoints: It's time to legalize and regulate pot

4/26/2010
Associated Press
Study links drug enforcement to more violence

4/22/2010
Providence Journal
Richard M. Evans: The president's pot problem

4/20/2010
CNBC
Legalizing marijuana: An issue that just won't go away


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