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Legalization drives down marijuana prices, analysis finds

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Federal cannabis legalization is a justice issue, but it’s also a pocketbook issue. A new analysis published in the American Journal of Agricultural Economics found that national legalization would likely reduce cannabis prices in higher-cost US markets. Simply put—weed is cheaper in places where it’s legal. For cannabis supporters wondering how their votes in the next election could impact the future of cannabis, take note. 

A super-majority of American voters support cannabis legalization, and support remains high in states with established adult-use markets. Some of those voters are lucky enough to stop by their local shop or place a delivery order, but many others continue to acquire their cannabis through the illicit (illegal) market.

This analysis suggests that national legalization could benefit states with legal cannabis just as much as states with no cannabis legislation—not only by changing the law, but also changing the access to legal cannabis from other states. 

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Tracking cannabis prices across states

This analysis from economist Barry Goodwin at North Carolina State University focused on cannabis prices across US markets. Goodwin collected data from 15 states with varying degrees of cannabis legislation to see whether the cost of cannabis in one state impacted prices in another. Wholesale weekly price data came from Cannabis Benchmarks, which conducts a national survey of cannabis prices each week. 

Cannabis is still illegal at the federal level, so transporting it or selling it across state lines remains a felony offense. Even when two states both have legal cannabis laws, cannabis commerce between them is still explicitly illegal. Understanding how cannabis price integration exists between states can also inform how the illicit market impacts cannabis prices across the country. 

California sets the cannabis price standard 

Results show that California plays a huge price leadership role across the country. And prices have plunged under legalization, with ounces of shake going for as low as $23 per legal ounce in Los Angeles this month.

As a long-established epicenter of cannabis production and culture, California produces far more cannabis than it can consume. Much of that (as in millions of pounds) gets illegally exported to other states.

I find that California, which is a leading cannabis exporter, plays a price leadership role. 

Goodwin, 2024

Goodwin found that prices began to decline in 2018 as legalization took effect in California and penalties collapsed for cultivation.

prices tended to drop substantially beginning in 2018, which again was a period of expansion in the legalization of cannabis in many states. 

Goodwin, 2024

the blue lines show prices falling in legalization states over time. More farms and stores drive prices down faster. (Goodwin, 2024)
The blue lines show prices falling in legalization states that permit enough farms and stores to meet demand. (Goodwin, 2024)

Previous research also indicates that one-third of California cannabis growers never applied for a cannabis license because of the regulatory barriers and high cost of entry to participate in the legal market.  They kept growing, though. The flooded market swamped demand and lowered prices. Prices went back up in 2020 during the pandemic, then fell even further afterward.

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The results show how California’s influence on price extends to much of the country, even to the most geographically distant, like Maine. The majority of states price their cannabis far higher than California.

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As Goodwin explains, “the likely mechanism integrating cannabis markets is the thriving trade in illegal cannabis, which has long preceded recent state-level legislative actions that have legalized cannabis use.”

When prices get too high in other states, the illicit market prices for California cannabis become competition for the regulated market, pushing prices down. But due to the legal risks, there is a significant increase in cost for transporting the cannabis, so prices must be significantly higher to trigger this equalization. 

This leaves the country with prices that are weakly integrated with California’s, but still much higher. 

The exceptions are just a few western states that have their own history of cannabis production and mature recreational markets—Colorado, Washington and Oregon. These states already have prices well below those in California, which is likely why they are not impacted by California prices. 

Still, Goodwin notes that “policy changes that relax restrictions on interstate trade would likely further integrate markets, bringing higher-priced markets more in line to form a national cannabis market.”

In other words, national cannabis legalization, or other policies that allow for interstate cannabis commerce, could significantly bring down your cannabis prices.

Where the major candidates stand on cannabis reform 

Those looking to push forward cannabis legalization can help with their vote in November. Florida votes on adult-use legalization Amendment 3, for example.

Vice President Kamala Harris and her running mate, Minnesota Gov. Tim Walz, recently became the first major party ticket to explicitly support federal cannabis legalization. While Harris has prosecuted pot crimes, her position has become more progressive over time. While in office as VP, she championed pro-cannabis legislation including the MORE Act, pardons for cannabis convicts, and rescheduling cannabis. 

Now as a presidential candidate, Harris has voiced her support for completely removing cannabis from the controlled substance list, sharing on X (formerly Twitter) that “the War on Drugs was an abject failure. It’s time to legalize marijuana and bring justice to people of color harmed by failed drug policies.”  

Cannabis freedoms increase supplies and lower prices. (Goodwin, 2024)
Cannabis freedoms increase supplies and lower prices. (Goodwin, 2024)

Trump has also shifted towards a more pro-cannabis view recently, supporting adult use in Florida, as well as federal rescheduling and SAFE banking.

However, when he was president before, he directed the Department of Justice to crack down on cannabis offenses and used part of his salary to pay for a promotional campaign about the negative effects of marijuana. On the other hand, he supported a bill to protect states’ pro-cannabis laws. 

While Harris supports cannabis legalization nationally, Trump has the framed the issue as one of protecting state laws for or against marijuana. Cannabis was not a topic of the presidential debate earlier this week.



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New York dispensary owners are collaborating for a better future

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This coalition of legacy operators is united and ready to thrive in New York’s legal market.


It’s been almost four years since cannabis was legalized for all adults in New York—and two years since the state’s first adult-use store opened. But many of New York’s first licensed dispensary owners are still fighting for a fair shake on the legal market.

To balance the odds, Flower City Dispensary owners Britni and Jayson Tantalo unified the New York Retail Cannabis Association (NYCRA). The NYCRA comprises hundreds of dispensary owners determined to make the most of New York’s historic licensing program. In 2021, the state’s MRTA law put those most impacted by cannabis prohibition first in line for dispensary licenses. But the road to opening has been full of unforeseen challenges.

NYCRA leaders Jayson Tantalo(left), Britni Tantalo(center) and Coss Marte (right) are demanding new regulations and protections for New York dispensary operators.
NYCRA leaders Jayson Tantalo (left), Britni Tantalo (center) and Coss Marte (right) are demanding better regulations and protections for New York dispensary operators. (courtesy of NYCRA)

“The sad truth is that there are only a few operators that were lucky to find success and are profitable so far. A few are just breaking even, and a large share are still at the starting point from over two years ago. It has placed a major boulder on all of our backs and our families.”

Britni Tantalo, Flower City Dispensary owner, Co-Founder & President of New York Cannabis Retail Association

NYCRA co-founder and president Britni Tantalo told Leafly that “stringent marketing and packaging regulations, limited indoor cultivation and canopy capacity, and the early entry of large out of state companies to the market put a burden on local operators.” NYCRA leaders believe the current regulations are stopping locally-owned dispensaries from growing into sustainable businesses.

This year, NYCRA and Leafly partnered to help New York dispensaries navigate the many challenges facing the new legal market. Keep reading to see how we’re helping New York dispensaries bounce back, and reach out to NYCRA to learn more about joining their community of cannabis operators.


The challenges of opening New York’s first adult-use dispensaries

NYCRA leaders advocate for a fair shake from the state.
“When you care about people, you will show up for them, you will fight for them and you will do everything in your power to protect them. It’s just that simple!” Britni Tantalo (far right), owner of Flower City Dispensary and co-founder and president of the New York Retail Cannabis Association. (courtesy of NYCRA)

Of the 463 licenses granted in the first round so far, only 227 are open for business. Another 1,400 or so license applicants are waiting for the state’s approval to open—but it could take until 2026 for all of them to be reviewed.

Many applicants had to secure and pay for their store’s property before receiving their license. That means some have been paying rent on commercial spaces for months without any assurances on when they’d be approved to open, if at all.

The Tantalos waited two years for approval to open Flower City before getting the green light. To make matters worse, they watched unlicensed shops spread like wildfire while they paid rent for a legal shop they couldn’t operate.

“We had to borrow against our homes, borrow from family and friends and/or downsize operations [just] to open a location. It placed everyone in a position of financial constraint and therefore mental and emotional instability.”

Britni Tantalo, Flower City Dispensary

To weather the storm, members of the New York Cannabis Retail Association embrace a philosophy of collaboration over competition.

NYCRA Vice President Jayson Tantalo explains, “We share valuable resources such as business plans, SOPs, along with just emotional support, which have proven essential for licensed operators who may not know where to start.”

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Here’s why hundreds of NY dispensary openings have been delayed

House of Hibernica dispensary outside
After a year of paying for a storefront they couldn’t open, House of Hibernica opened in April and has grown fast in 2024. They’re no offering deliveries to all of the Bronx. (House of Hibernica)

In the Bronx, the House of Hibernica endured multiple delays before finally being cleared to open this April. “It was a whole year from when we applied for the license, to opening,” said Hibernica co-owner Bojan Trpcevski. “We had to have a store so we could apply. Then the injunction happened in 2022. So we were paying rent for a year,” Trpcevski said.

In November 2022, a judge blocked hundreds of stores from opening for six months as part of a controversial injunction. The lawsuit that caused the injunction was filed by an out of state resident who said the program’s social equity requirements violated the US constitution.

Just as the first applicants were being approved to open in 2022, multipleinjunctions placed the rollout in jeopardy. Dispensary owners were on the hook for real estate, operations costs, and private investments. Delays compounded as the state’s resources and attention went to the court case. When the first injunctions finally began to lift in May 2023, the plaintiff in one case received a license as part of a settlement agreement. By then, many owners were already 6 months behind their business projections.

Then, this October, a group of unlicensed dispensaries that were shut down for allegedly selling cannabis without a license also took the state to court, and won. They claimed they were put out of business without receiving due process as part of Mayor Eric Adams’ Operation Padlock, which has reportedly padlocked over 1,000 unlicensed shops since kicking off this spring. Last month, a judge ruled that the operation “stands against the cornerstone of American democracy and procedural due process.” The ruling could encourage unlicensed shops to re-open, adding uncertainty for operators as newly-approved stores open almost daily.

Operators like Budega’s Alex Norman have had no time to place their dreams on hold. “I started my brand three years ago in anticipation of an opportunity like this,” Norman told Leafly days after the injunction came down. “But I’m not gonna say it’s gonna stop me.” Over a year after the injunction and still not open, Norman remains dedicated to seeing things through with Budega after decades in the legacy market.

House of Hibernica’s team said they had no idea it would be this difficult when they started the process of applying. “We thought it would be similar to the restaurant business,” Trpcevski said, “because we opened a few before. We didn’t expect that we were going to wait so long, and that every small thing is going to stop the whole process.”

How much is a New York dispensary license worth?

Housing Works board member and owner of Brooklyn Legends Dispensary. (Calvin Stovall / Leafly)
Housing Works board member and owner of Brooklyn Legends Dispensary shows off one of New York’s first legal cannabis purchases: Pre-roll Minis by Lobo— which are still top sellers across the state nearly two years after debuting. (Calvin Stovall / Leafly)

The unforeseen delays have some license holders thinking about selling equity, or their entire license to the highest bidder. “The valuation is running from $600,000 to $800,000,” according to Daron Hudson, owner of Brooklyn Legends Dispensary, which is licensed and waiting to open. “If you have a location secured, it’s going up to $2,000,000,” Hudson told Leafly this fall.

Hudson is also a board member at Housing Works, New York’s first retail dispensary, which opened in December 2022. But opening his own store has proven much more difficult than getting the well-known nonprofit off the ground.

To help with start-up costs, the state originally promised owners a private equity fund to support store build outs. But the fund failed to launch.

“The access to capital and other resources that were promised to all of us CAURD applicants was simply not there. When you are promised a turnkey dispensary with low interest rates and access to grants from your state regulators, you don’t plan to obtain these things for yourself. When we realized that the promises were not going to be fulfilled anytime soon, if at all, we had no choice but to pivot. Most of us could not find investors because investor confidence was low due to the failed rollout.”

Britni Tantalo, Flower City Dispensary

Now, a new loan fund may provide some relief. But Hudson and other owners have already begun vetting investors who can help them get opened. And they’re finding that these new potential partners have far more leverage than the state’s regulations intended.

“I was part of the Housing Works license, I was the justice involved individual that helped get them the license. But now as an applicant myself, it hasn’t been an easy road. There’s no funding whatsoever. If you don’t have money in a shoe box somewhere, you’re left at the mercy of investors. And they’re bringing you these astronomical terms that are bleeding you out. There’s a sense of urgency to get the doors open. But I have to find somebody that I can trust to do business with for the next ten years.”

Daron Hudson, owner Brooklyn Legends Dispensary

How NYCRA and Leafly are helping New York dispensaries thrive

Leafly is proud to help bring New York dispensary owners new legal customers from across the state. Jayson Tantalo said dispensaries need help creating “brand recognition and demonstrating what legal cannabis looks like here in New York.” That’s why we’re leaning into content and activations that represent the very best of New York cannabis.

Our content partnerships with stores like Good Grades and Trends use the power of Leafly’s strain and product database to help keep shoppers informed about what they’re buying. In-person activations around the state are also helping first-time legal shoppers discover the top dispensaries and cultivators in their area. With the both the state, and federal laws, limiting the ways dispensaries and cannabis brands can advertise, every new customers counts.

“Partnering with Leafly brings tremendous value to our organization. Advertising and marketing are extremely difficult to navigate and complex to understand. By providing this platform to our members. With almost 20 years of experience in search engine optimization, I understand the challenges involved in effectively advertising. The terms being offered by Leafly to our members are particularly valuable because they make customers more accessible.”

Jayson Tantalo, Vice President of NYCRA and co-owner of Flower City Dispensary

Leafly and NYCRA also work closely with store operators to analyze data that improves their performance. We’re going the extra mile to make the cannabis industry accessible for all – including those negatively impacted by the failed war on drugs.

“I had Leafly before the legal industry even started,” said Hudson. “It was for the strains. Back in the legacy era, if somebody was selling me cannabis and said this is purple something, I’d go see what purple is on Leafly.”

Leafly stands with New York dispensaries

Since 2010, Leafly has provided cannabis patients, users, growers, advocates, and researchers with groundbreaking data that’s helped normalize the plant in 38 legal states and over 40 counties. With New York City consuming more cannabis than any other city in the world, the state’s new legal market presents an enormous opportunity for residents and visitors to safely and responsibly support local growers and sellers.

Now let’s get to work!

Click here to find your closest New York legal dispensaries on Leafly.





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2024 election results for the weed voter: What you need to know

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The votes are coming in, and it’s time to see what 2024 means for cannabis lovers like you. From local measures to national policies, this year’s election could be a game-changer for anyone who believes in a little herbal freedom. Whether you’re in a state where weed’s still a bit of a gray area or you’re looking to see expanded rights and better pricing, this election’s outcomes could impact everything from where you buy to how much you’ll pay—and maybe even what you can grow at home.

So, what just happened? We’re breaking down the most important wins and losses in this year’s races, focusing on the stuff that’ll actually make a difference to the cannabis community. From legalization pushes to fresh tax laws, here’s what cannabis voters need to know about the new political landscape. Will 2024 finally be the year cannabis goes fully mainstream? Let’s dig in and see what the results mean for your stash, your rights, and your next dispensary visit.

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Florida’s Amendment 3: Not currently passing

With 52% of ballots counted at the time of polls closing, Florida Amendment 3 is not meeting the 60% threshold to pass, according to cannabis news site Marijuana Moment. Amendment 3 is losing 55 to 45% in early returns.

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South Dakota cannabis legalization: To be determined

Polls are still closing across the country and we’ll have to wait until later tonight for for more on South Dakota legalization Measure 29.

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How to order weed delivery online with Leafly

North Dakota cannabis legalization: To be determined

Polls are still closing across the country and we’ll have to wait until later tonight for for more on North Dakota legalization Measure 5.

Nebraska medical cannabis: To be determined

Polls are still closing across the country and we’ll have to wait until later tonight for for on Nebraska medical cannabis legalization Measure 437.

Oregon pot unions: Too early to tell

Polls close on the West Coast at 8 p.m. PST, after which we’ll have the first returns on Oregon Measure 119 to force pot businesses to obtain pro-union agreements from unions.

Massachusetts psychedelics legalization: To be determined.

Polls close on the East Coast at 8 p.m. EST, after which we’ll have more on the Massachusetts psychedelics legalization Question 4.

State and local races of note

Several state and local races will play a role in spreading cannabis freedom. Among them, Marijuana Moment is tracking three cities in Texas: Dallas, Bastrop, and Lockhart. Legalizing cannabis in cities can percolate up to bigger changes in state capitols.

President of the United States: To be determined

Both candidates have expressed support for legalization, either federally or at the state level. Then again, neither expended political capital to foment cannabis law reform during their prior tenure as President, or Vice-President.

Control of the Senate: To be determined

Despite promises from Senate majority leader Chuck Schumer—the US Senate has blocked cannabis law reform passed by the House. Neither party has passed legalization in the Senate when they held power over it. It’s unclear exactly how either party controlling the Senate would result in gains for cannabis voters.

Control of the House of Representatives: To be determined

Numerous flavors of cannabis law reform have passed out of the House under both Democrat and Republican control. But they’ve died in the Senate. The parties are split on legalization over things like taxes, banking, regulations, special treatment for certain groups, and other facets of winding down the war on weed.



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Wiz Khalifa, Wizard Trees, Rick Steves endorse Florida legalization

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Florida could be just days away from becoming the 25th legalization state—and the endorsements are rolling in for Amendment 3

Celebs like rap god Wiz Khalifa, travel king Rick Steves, and zaza brands like Wizard Trees are looking forward to the good things that come from more freedom in the Sunshine State.

A majority of Floridians want to end the tens of thousands of annual pot arrests, make hundreds of millions in taxes with the measure, and let the good herb flow. But Amendment 3 needs a full super-majority 60% of the vote, and it’s going to be very close, polls show.

That’s where endorsements can save the day—getting distracted tokers off the couch and out to the polls. Let’s see who is saying what.

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Wiz Khalifa endorses Amendment 3

“We gonna get this Khalifa Kush legalized for all adults. Let’s get it,” said Wiz Khalifa, whose brand Khalifa Kush already serves medical patients in Florida.

Watch Wiz’s post on Facebook.

Wiz also hit Twitter/X to spread the message.

“We want to make it safe, make it legal, and stop arresting people for the plant. Join me and say yes on 3,” said Khalifa. “Early voting is starting now, so don’t miss out.”

Rick Steves endorses Amendment 3

Few people have done more to flip undecided, moderate votes to legalize than travel legend Rick Steves.

On Oct. 22, Steves dropped an op-ed in the Miami Herald endorsing Amendment 3, saying:

“I’m a travel writer. And as a matter of principle, if my government says I can’t go somewhere, it better have a darn good reason. For me, “high” is a place… and sometimes I want to go there. And when it comes to my civil liberty to enjoy marijuana as a responsible adult, there’s no good reason for our government to stop me.”

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Such a legend. Steves endorses “common sense” regulation over prohibition, and notes the 200,000 annual weed arrests in the US.

“With each election cycle, the laws are smarter, and the wisdom of legalizing is clearer.”


Wizard Trees plans new flavors for Florida under Amendment 3

Zoap, grown by Heights, LA. (David Downs/Leafly)
Zoap. Indica hybrid. (David Downs/Leafly)

The wizards that helped build the RS-11 wave in the US—Wizard Trees can’t wait to serve even more Floridians under full legalization, they tell Leafly.

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The force helping to make Zoap and Zangria household names says they are “absolutely stoked” to already be in Florida with The Flowery.

“It’s been a great partnership so far and we’re excited to see where it goes when it gets legalized.”

In December, Wizard Trees drops new Zangria crosses on Florida, and activates at Rolling Loud Miami.

Wizard Trees said their current operations in Florida would ‘only benefit from legalization.’

Wizard Trees said their current operations in Florida would “only benefit from legalization.”

RS54 weed strain
Wizard Trees-grown RS54 bred by Deo Farms. Hybrid indica. (David Downs/Leafly)

Other endorsements for Amendment 3

NFL player Ricky Williams, former boxer Mike Tyson, the Florida ACLU, the Mayor of Miami-Dade County, former President Trump, and many more.

Opponents of Amendment 3

So who’s against cannabis freedom in Florida? Florida Gov. Ron DeSantis, some state sheriffs who seize cannabis cash and cars, and of course Project SAM—the national naysayers of weed freedom. If that is your jam—you do you.


The choice is yours, Florida. Mail in your ballots, walk them in, go vote early, or on Nov. 5. We’re a government of the people, by the people, and for the people— exercise your right to self-government, or someone else will.





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