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On a High of Legalization, Leading to Low Prices

Three researchers present on the economics of marijuana at 2018 AAEA Annual Meeting

In the past five years, eight states and the District of Columbia have voted to legalize use and possession of recreational marijuana with new ones coming soon. There are many estimates of the legal national market size growing to over $11 billion dollars this year, if you include illicit use the figure jumps to over $50 billion. With the increased growth of legalization comes a huge decrease in prices.

In the Lightning session “The Economics of Marijuana,” three presentations will discuss the consumption and production of marijuana in California, and the status of marijuana in the state of Washington. The organizer of the session, Michael McCullough from Cal Poly, San Luis Obispo, says “Earlier states have legalized recreational use with a lot of guess work in the cost of production and consumers’ willingness to pay. The research presented in this session should help clarify the current state of the industry and its trajectory.”

Over 1,600 participants are expected to attend the 2018 AAEA Annual Meeting, which will take place on August 5- August 7 at the Marriott Wardman Park in Washington, D.C. This session will begin at 10:00 am on Monday, August 6.

If you are interested in attending the 2018 AAEA Annual Meeting in Washington, D.C., please contact Allison Scheetz in the AAEA Business Office. You can also learn more on our Annual Meeting Media Kit page.

ABOUT AAEA: Established in 1910, the Agricultural & Applied Economics Association (AAEA) is the leading professional association for agricultural and applied economists, with 2,500 members in more than 60 countries. Members of the AAEA work in academic or government institutions as well as in industry and not-for-profit organizations, and engage in a variety of research, teaching, and outreach activities in the areas of agriculture, the environment, food, health, and international development. The AAEA publishes two journals, the American Journal of Agricultural Economics and Applied Economic Perspectives & Policy, as well as the online magazine Choices. To learn more, visit

Contact: Allison Scheetz
Senior Communications Manager
(414) 918-3190