Study: Adult-Use Cannabis Legalization Significantly Disrupts Unregulated Markets

Data from the Massachusetts Cannabis Control Commission shows that over 70% of consumers purchase their cannabis at a store


The adoption of statewide adult-use marijuana legalization laws is associated with declines in illicit market cannabis seizures by law enforcement and likely reduces the size of the unregulated marketplace, according to data published in the International Journal of Drug Policy.

Researchers affiliated with Columbia University and New York University assessed the relationship between legalization laws and annual changes in cannabis seizures by state and federal law enforcement from 2010 to 2023. 

Investigators determined that adult-use legalization “was associated with a significant decrease in cannabis seizures,” both in the short-term and long-term. 

The study’s authors concluded: “Findings showed a 45 percent relative reduction in mean counts of state law enforcement cannabis seizures in states that adopted RCL [recreational cannabis laws] in addition to MCL [medical cannabis laws], even after controlling for secular trends and pre-existing state differences. … Taken together, findings from this study support the possibility that RCLs, beyond only MCLs, may help to reduce the size of the illegal cannabis market.”

In Canada, which legalized marijuana sales nationwide in 2018, nearly 80 percent of cannabis consumers have transitioned from unregulated markets to the legal market. According to a 2023 survey of US consumers, 52 percent of adults residing in legal states said that they primarily sourced their cannabis products from retail establishments. 

Most recently, data provided by the Massachusetts Cannabis Control Commission reported that over 70 percent of consumers purchase their cannabis at a store. “Residents turn away from the illicit market when safe, well-regulated options are available,” the Commission’s Executive Director Travis Ahern said.

This brief was reprinted from NORML. Full text of the study, “Cannabis legalization and law enforcement drug seizures: A state-level analysis of cannabis policy effects on cannabis seizures in the United States,” appears in International Journal of Drug Policy.