Congressional Research Service: Cannabis Would Fall to Under $20 an Ounce if Legalized Nationwide

The Congressional Research Service (CRS) has released a thirtycrs five-page report examining the effects of the federal government implementing a wholesale excise tax on the production and sale of cannabis and cannabis-related products.

CRS’ analysis indicates that cannabis prices would fall to as low as $5 to $18 an ounce under a legalization model; they claim that today’s average prices of $200 to $300 an ounce are inflated due to prohibition. The report found that if cannabis were taxed at $50 an ounce, the nation would generate over $7 billion in taxes from an estimated $40 billion legal cannabis market.

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