The Economic Impact of Cannabis Industry: A Game Changer,
The Economic Impact of Cannabis Industry: A Game Changer
Over the years, there has been a significant change in the way people view cannabis, and with regulatory changes in several states across the globe, there has been a great impact on the economy. The cannabis industry has become a force to reckon with, and its economic impact cannot be overemphasized. Here are a few ways in which the cannabis industry is changing the economy:
One of the significant impacts of the cannabis industry on the economy is job creation. With the legalization of cannabis in several states, there has been a considerable increase in job opportunities. According to a study by New Frontier Data, the cannabis industry is projected to create approximately 283,422 jobs by the year 2020. This job creation can be felt in many aspects of the industry, including cultivation, manufacturing, retail, and so on.
Increased Tax Revenue
The legalization of cannabis comes with several benefits, and one of them is tax revenue. Legalizing cannabis means that the government can regulate and tax the industry, which will, in turn, bring in substantial revenue. According to a report by New Frontier Data, legalizing cannabis could bring in $132 billion in tax revenue by 2025. This tax revenue can be channeled into various sectors of the economy, such as healthcare, education, and infrastructure.
The cannabis industry is not only creating jobs but is also creating business opportunities. Many businesses have sprung up in the industry, from cannabis dispensaries to ancillary businesses such as software companies and technology solutions. With the cannabis industry still in its infancy, there is a vast opportunity for businesses to capitalize on the industry’s growth and expansion.
Boost in Tourism
The legalization of cannabis in several states has spurred a boost in cannabis tourism. Tourists from states where cannabis is not legal are now traveling to states where it is legal to partake in the industry and experience cannabis tourism. According to a report by the Colorado Tourism Office, cannabis tourism brought in an estimated $1.5 billion in revenue in 2018. This boost in tourism has a positive impact on the economy, as it creates jobs and brings in revenue.
The cannabis industry is proving to be a game-changer in many aspects, including the economy. With the industry still growing and expanding, there is a vast opportunity for job creation, tax revenue, business opportunities, and tourism. As more states continue to legalize cannabis, it is imperative that policymakers take advantage of the industry’s positive impact, and channel it towards the growth and development of the economy.