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The effects of medical marijuana laws on illegal marijuana use

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  • Chu, Yu-Wei Luke

Abstract

More and more states have passed laws that allow individuals to use marijuana for medical purposes. There is an ongoing, heated policy debate over whether these laws have increased marijuana use among non-patients. In this paper, I address that question empirically by studying marijuana possession arrests in cities from 1988 to 2008. I estimate fixed effects models with city-specific time trends that can condition on unobserved heterogeneities across cities in both their levels and trends. I find that these laws increase marijuana arrests among adult males by about 15–20%. These results are further validated by findings from data on treatment admissions to rehabilitation facilities: marijuana treatments among adult males increased by 10–20% after the passage of medical marijuana laws.

Suggested Citation

  • Chu, Yu-Wei Luke, 2014. "The effects of medical marijuana laws on illegal marijuana use," Journal of Health Economics, Elsevier, vol. 38(C), pages 43-61.
    • Handle: RePEc:eee:jhecon:v:38:y:2014:i:c:p:43-61
    DOI: 10.1016/j.jhealeco.2014.07.003
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    More about this item

    Keywords

    Marijuana; Medical marijuana laws; Illegal drug use; Medical marijuana; Marijuna abuse; Drug arrest; Substance treatment;
    All these keywords.

    JEL classification:

    • H75 - Public Economics - - State and Local Government; Intergovernmental Relations - - - State and Local Government: Health, Education, and Welfare
    • I10 - Health, Education, and Welfare - - Health - - - General
    • I18 - Health, Education, and Welfare - - Health - - - Government Policy; Regulation; Public Health
    • K32 - Law and Economics - - Other Substantive Areas of Law - - - Energy, Environmental, Health, and Safety Law
    • K42 - Law and Economics - - Legal Procedure, the Legal System, and Illegal Behavior - - - Illegal Behavior and the Enforcement of Law

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