MJ Stocks Analysis

[nopancakemix]

Huh? Violence in Mexico?
Was that a joke? Mexico's cannabis distribution network is bankrupt. They can't move marijuana in their largest market, Southwest and Northwest US. The entire West Coat and bordering states are flooded with legal weed. The few tons of MJ that comes through from Mexico via tunnels and boat are taken to the middle of the country. I think I was about 14 the last time I smoked some Mexican brick weed. MMJ and recreational legalization has almost wiped out the cartels ability to compete in the marijuana trade. Cocaine, heroin even meth pours through Mexico but the days of bringing weed are coming to a close. In fact, what is more common now amongst Mexican drug cartels is to send people to US state and national parks to operate guerrilla grows and sell the goods locally.

Did prohibition increase violence from previously outlawed importers like rum from the Carribean or tequila from Mexico? Uh no. It establish massive liquor conglomerates run by men in suits.

DTC, I'm sorry but this is just incredibly flawed logic. Violence comes hand in hand with an illegal trade, not legalization. Cite one example where legalization of an outlawed good has caused more violence (except maybe guns).

Another major positive of the cannabis trade is that it really is truly a domestic industry. The quality in California is the best I have seen anywhere in the world. There is no need to import. The domestic cannabis trade is providing jobs and in turn a whole new income tax base. The domestic industry is also filling vacant real estate, again a source of real estate tax revenues instead of write offs for empty space. Before long, the cannabis industry will be powerful enough to lobby for reduced taxes. Obviously that's speculation, but I just don't believe the situation is going to get worse.