Think about what you are doing to yourself
Quote:
Originally Posted by MakeSense
Very good.
I do think that all things considered regulation and taxation will occur in increasing measure.
I for one would rather pay taxes on bud than taxes on prisons. Not to mention that
as soon as it is really really accepted, it will be a short time before it all turns into a factory like Bweiser, or Mrlboro, Pfzer, etc...
So the question is will the little man get ahead on this one???
If so, How?
Demand certainly will not go away. But the ability and urge to supply may.
Why are there brewerys?
I could brew at home.
What is the cost to Produce a Scotch?
I could'nt tell you but it is far less than I am willing to pay :)
Anyway, I am just glad you guys are'nt bashing me for mentioning it.
:thumbsup:
The other problem here is that those who are involved in the black market side of this thing are making lots of money. They don't want legalization. They will continue to try to make the idea of legalized pot equate in the everyday person's mind to crime and addiction. It's good for business.
If we ever get to a point where government decides to put an end to all this nonsense and make it legal, you are right... the huge companies like Phillip Morris and Pfizer will jump in and try to corner the market. Again, its just good business. However, like anything done in mass production, quality suffers. Strains will be bred for high production and things such as taste and quality of stone will be secondary concerns.
The little guy/gal will flourish in this market much as micro-breweries and home distilleries do now. They provide a connoisseurs market where quality is paramount, and quantity is the secondary concern. Micro-grows because of this and their rarity will claim top dollars. The providers we have now in a few states will not be able to compete with the prices the big companies will charge, and without a specialty product, they will not be viable ongoing business concerns. There will always be those who provide just for themselves and a few patients, but these will not be profit centers.
So... some like the status quo for this reason. They will doggedly hang on to what we have now as long as they can. Legalization will be a good thing, but it is not going to happen without a huge fight... and this fight will come not just from the government, but from growers.
Emmie
Think about what you are doing to yourself
Weed prices have been artificially inflated due to prohibition, however weed retailed for $100 a quarter when I moved here in '92. Since then, housing prices have gone up 3-4x and the cost of living in general has about doubled but real wages have barely gone up... but the price of weed has stayed the same so realistically prices have dropped quite a bit relative to any other commodity.
How much further will it drop? It depends on regulations. If agricultural land was zoned in, greenhouses would make indoor/warehouse growing a thing of the past. The sun is capable of providing better yields AND quality vs. a bunch of 1000W HPS lights in a warehouse. I could see wholesale pricing dropping under $1k/lb pretty easy in this situation.
But because of the ridiculous zoning regs, having to grow in a warehouse will keep wholesale pricing around $1.5-2k. The costs of growing in a warehouse vary a lot. Some spend a lot on Advanced Nutrients, I grow organic, reuse my soil and spend maybe $10-15 per lb of weed grown on organic fertilizers. It actually costs far more in rent, utilities, licensing, etc. to have a grow than it cost to actually grow and process the weed.
Think about what you are doing to yourself
I have a good friend who had to relocate to Cali. for the last year, and talk to him 5/6 times a week...when he first got out there he paid 350.00 for an oz
and the last 3/4 months he has been getting very top quality for 150.00 oz. yes it probably is black market but even the mmc out there have dropped thier prices he tells me as he has a friend who has a card and goes to the mmc's out there and he is paying about 200.00 oz there.
what will happen here is anyone's guess.
Think about what you are doing to yourself
Pricing is not the problem, it can't be controlled and it's illegal in this country anyway....not that it doesn't happen all the time but that's another subject. The problem has already been stated above: Is the government willing to allow it to be grown and sold here or would they rather make it so difficult and costly that that the black market is favorable and people chose to operate outside the law. Every state that has allowed some level of legalization has been forced to do so by Initiatives or constitutional changes. The legislators will NOT do this on their own. They need to get the overwhelming message that the will of the people is to have this legalized. Prohibition didn't work, this isn't either. My point: stay focused on initiatives, constitutional votes, bills that are being passed, etc until the legislators get the message.
If/when it's legal you can be sure that RJ Reynolds will be selling it for less than anything you see now...and of course it will be crap weed too.
Think about what you are doing to yourself
I think it interesting that there has been so much price fluidity during the past 16 months. As Dorje observed, the $100 price point hasn't changed in twenty years. Two years ago if someone had asked me what I though pot would cost in 2011, I would have said $50/100/375. I'm surprised that such a small and tightly regulated industry has pushed prices down so quickly and so far.
Think about what you are doing to yourself
Imagine this-
A smalltime caregiver serves himself and 5 patients and he does a good job and has some overage. To legally sell that overage, he HAS to sell to one of his patients. So somehow, he needs to convince THEM to pay his electricity bill, nute bill, dirt, coco, fans, and so on. How can he convince one of those 5 to take more than they need, so he can pay the bills? By lowering the price to a level that it makes it possible for them to be able to do something with it. I'm hearing 150 as a common price now.
It's what the poorly thought out regs do. Instead of figuring out a caregiver to mmc path for overage, adding it to the above ground, taxed system, they've diverted all this overage to.... where?
it's the sad lesson in economics that is pushing tax dollars away, makes businesses and caregivers, and state tax coffers pay the price.
Think about what you are doing to yourself
It's overproduction, pure and simple. Everyone assumed that they'd be able to sell what they grew.
Think about what you are doing to yourself
Quote:
Originally Posted by TheReleafCenter
It's overproduction, pure and simple. Everyone assumed that they'd be able to sell what they grew.
So expect some price adjustments as mmc's sort out their model ?
SA
Think about what you are doing to yourself
Quote:
Originally Posted by denverbear
he tells me as he has a friend who has a card and goes to the mmc's out there and he is paying about 200.00 oz there.
damn, got an address or the dispensary name? would love to visit!
Think about what you are doing to yourself
Quote:
Originally Posted by dkmcsm
Pricing is not the problem, it can't be controlled and it's illegal in this country anyway....not that it doesn't happen all the time but that's another subject. The problem has already been stated above: Is the government willing to allow it to be grown and sold here or would they rather make it so difficult and costly that that the black market is favorable and people chose to operate outside the law. Every state that has allowed some level of legalization has been forced to do so by Initiatives or constitutional changes. The legislators will NOT do this on their own. They need to get the overwhelming message that the will of the people is to have this legalized. Prohibition didn't work, this isn't either. My point: stay focused on initiatives, constitutional votes, bills that are being passed, etc until the legislators get the message.
If/when it's legal you can be sure that RJ Reynolds will be selling it for less than anything you see now...and of course it will be crap weed too.
exactly!
