Legalization of Marijuana In economics, a mixed market economy is one in which the actions of private businesses are affected by public actions and decisions. In the United States, there are governmental actions that decided just how much intervention will be used on a business. This is a redundant topic, as the two political parties, Republican and Democrat, debate the issue frequently. The idea of “laissez-faire” is a free market economy where businesses have the right to do whatever they want.
Republicans tend to lean towards this ideal, while Democrats call for more governmental intervention on businesses. When deciding just how much control will be used, one must look at all the benefits and costs. Not only must economic benefits be asserted, but moral and social benefits and costs must be taken into consideration. A topic that many people have been contemplating is the legalization of marijuana.
Many people believe that the legalization of marijuana with a high tax is sensible because it would place the demand curve in the same place as if it were criminalized, except with a tax the government would make money from the tax revenue. However, the issue of morality and then the costs and benefits to society must be taken into consideration to decide whether it should be legalized or not. Microeconomics always poses the questions of “What good to produce,”How to Produce this good,” and “For whom should this good be produced?” In this case, the “What” that gets produced is marijuana in a private market. “How” this would be produced depends on the ideal of the economy.
The Business plan on Intro To Business Businesses Product Consumers
Introduction to Business Business plays a major role within our society. It is a creative and competitive activity that continuously contributes to the shaping of our society. By satisfying the needs and wants people cannot satisfy themselves, businesses improve the quality of life for people and create a higher standard of living. It is a way for individuals to provide goods and services to ...
In a laissez-faire economy, the market would determine how much and if machines would be used to grow and tend marijuana. People would have the freedom to purchase marijuana, and no one would be forced into buying it if they had moral believes against it. The problem that arises in this situation is the idea of public safety and morality against freedom of businesses. Many people would feel unsafe because marijuana is known as a “gateway” drug, leading people into a life of addiction to more serious drugs. In addition, many believe that because marijuana is in fact a drug it is morally unjust to use it. On the other hand, some people believe that business should have freedom to a “free market” and should ultimately be able to sell whatever they please.
In addition, the legalization of marijuana could be beneficial to the government economically. Overall, the government is presented with a tough decision of weighing the costs and benefits. As far as the legalization of marijuana goes, there are three options that the government can choose. The three options all have their own advantages and disadvantages that are compared and weighed. The first option is the current one of complete criminalization of marijuana. This option provides safety for the public, while limiting the freedoms of business.
The second option that the government has is the legalization of marijuana with the imposition of a tax. This idea provides a bit of safety, because it can regulate the demand through price and makes the government tax revenue, but many people feel that it is wrong for the government to be profiting from the trade of a drug. The last option is the one of a complete free market. This ideal allows freedom of businesses, but is generally unsafe and promotes the use of drugs. The costs and benefits must be weighed out in order to see which option provides the best situation for the country.
The Essay on Graduated Income Tax Farmers Government People
The Populist movement represented a viable plan for the future, which although failed as a third-party movement, it made thousands aware of the needs for reform. The abuses of monopolistic capitalism were spreading across the US leaving behind a trail of poverty. The call for an unlimited coinage of silver and gold at a ratio of 16 to 1 would enable farmers to pay their debts more easily as well ...
In the option of having the complete criminalization of marijuana, the right to freedom is completely violated. One does not have the right to do as he pleases, because he would be breaking the law. In addition, the cost of police force is expensive. Tax payers are forced to pay higher taxes for police force to monitor, prosecute and incarcerate those convicted.
Because so much time of the police is going into monitoring marijuana, more serious crimes are often missed such as murder and rape. This idea is not fair, in the sense that if some states banned marijuana and others did not, then those with money could travel to other states. On the other hand, a complete banning makes people feel safe, although a black market could develop. Many feel that marijuana is unsafe because it impairs one’s judgments and leads them into other drugs. Also, society in general believes that the use of “drugs” is morally wrong. By making marijuana illegal, the government would be discouraging the act of doing something that is “wrong.” An option many people have recognized as “efficient,” is the one of legalizing marijuana with the inference of a high tax.
The idea of a high tax would be in order to limit the amount of quantity demanded, by raising the price and also by lowering the quantity supplied. In this situation, freedom of people is reduced, just not as much as with its criminalization. However, the government is still limiting the amount sold. This idea is also not fair, because the rich would have the option of paying the high tax while the poor would not. By having a high tax, many people would try to evade the tax and create a black market. It would be very expensive to try and control the black market and force those to pay the taxes.
On the contrary, the benefits of this option are high. First of all, tax revenue is raised which can be put towards public funding. Also, if keeping marijuana use to a minimum is a goal of the government, then by creating a high tax the government can lower the quantity demanded to the same amount as the prohibition. This would happen because the high tax would cause a decrease in supply, and an increase in price.
The Essay on Why The Taxes Are So High In Canada
Why The Taxes Are So High In Canada Every government gets the budget from the taxes, and those taxes a recollected from people who live in the country and enjoy the benefit and welfare that provided by the government. Therefore, every citizen in every country has to pay taxes, no matter what products or services they purchase. Some countries have heavy taxation, such as Swiss, Japan, and Canada. ...
This option is also beneficial because it allows people to decide for themselves if they want to use marijuana or not. They are not discouraged by the fact that it is illegal; if they want to use it they can, and if someone does not then they are not forced to. The last option is to have a laissez-faire economy, and allow the unlimited distribution and use of marijuana. This option is seen as “morally” wrong because the government is sanctioning the use of drugs. Public safety is also an issue, because marijuana is seen as a drug that pushes people into more harmfully addicting drugs. However, legalizing marijuana would guard the freedom and privacy that America was established on.
It gives each and every person their own opportunity to do as they please and make the decision for themselves. There is also no cost to the government, because the police force would not be used to criminalize marijuana. The police could then use their time and money to concentrate on the serious crimes, such as rape and murder. This is also the fairest option, because it gives the rich and poor the same opportunity to do as they please. After looking at all the costs and benefits to each option of the government, I believe that the best choice would be in the legalization of marijuana with the implementation of a high tax. This idea seems like the most logical because although the moral issue comes into play, if the tax is high enough than the quantity demanded would be the same as it is with the prohibition.
The benefit of tax revenue is huge as well, and the idea would be similar to that of alcohol and cigarettes. Although public safety would be an issue, the benefits of the tax revenue and the governments ability to moderate seems to outweigh it. This seems to be a medium between the two extremes, prohibition and legalization. Republicans and Democrats debate daily on the role of government in business.
Certain social and economic freedoms must be taken into consideration, while looking out for the good of the country. Therefore, by weighing the costs and benefits of the options, the government can get an idea of what would help the country the most. In the case of the legalization of marijuana, I feel that finding the compromise benefits society the greatest.
The Essay on Legalize Marijuana Federal Government
Nick Locker English 101 December 2, 2003 Legalize Marijuana After 30 years of marijuana use being subject to such harsh penalties and unreasonable consequences, the world has not yet to agree on the truth about marijuana. I feel that it is a very controversial issue in this day and age with very strong and supportive arguments on both sides of this issue. The issue has caused a lot of political ...
