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Crime and the Legalization of Recreational Marijuana

Author

Listed:
  • Dragone, Davide

    (University of Bologna)

  • Prarolo, Giovanni

    (University of Bologna)

  • Vanin, Paolo

    (University of Bologna)

  • Zanella, Giulio

    (University of Bologna)

Abstract

We provide first-pass evidence that the legalization of the cannabis market across US states may be inducing a crime drop. Exploiting the recent staggered legalization enacted by the adjacent states of Washington (end of 2012) and Oregon (end of 2014) we find, combining county-level difference-in-differences and spatial regression discontinuity designs, that the legalization of recreational marijuana caused a significant reduction of rapes and thefts on the Washington side of the border in 2013-2014 relative to the Oregon side and relative to the pre-legalization years 2010-2012. We also find evidence that the legalization increased consumption of marijuana and reduced consumption of other drugs and both ordinary and binge alcohol.

Suggested Citation

  • Dragone, Davide & Prarolo, Giovanni & Vanin, Paolo & Zanella, Giulio, 2017. "Crime and the Legalization of Recreational Marijuana," IZA Discussion Papers 10522, Institute of Labor Economics (IZA).
  • Handle: RePEc:iza:izadps:dp10522
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    References listed on IDEAS

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    More about this item

    Keywords

    recreational marijuana; cannabis; crime;
    All these keywords.

    JEL classification:

    • K23 - Law and Economics - - Regulation and Business Law - - - Regulated Industries and Administrative Law
    • K42 - Law and Economics - - Legal Procedure, the Legal System, and Illegal Behavior - - - Illegal Behavior and the Enforcement of Law

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