Quote Originally Posted by emilya
oooo... econ talk!

The problem is that we are not in a perfect market. Only in a few states we see a partial relaxation of the laws, but yet it is still a essentially a black market item. Even in those states, only a few have cards, the rest have to rely on the black market to get their recreational relief.

An equilibrium price will never be reached in such a situation. Sellers will continue to want to charge more for their products and when the demand supports it, they will raise prices. This is called supply side economics, and it is how markets work. Suppliers set the prices, consumers determine demand.

If everyone growing was only doing so to supply patients, and they had no contact with the black market... yes, it would be time to start looking for a universal price. However, as long as there is a guy down the street willing to pay $3000 for a LB... there will always be a strong upward pressure on the equilibrium price. Government controls and prohibition always increase prices and create a shortage in the market, and this provides an increasing upward price pressure. Want the prices to come down? Get rid of the prohibition and get the government out of the equation. Legalize.

Emmie the economist
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... (forgot to metion the old
Molson for my brother up north)
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: