By Two Studies Find Dispensaries Reduce Crime and Boost Local Business
Two new studies report that neighborhoods with state-licensed cannabis dispensaries experience decreases in crime and upticks in economic activity.
It compared local crime trends in neighborhoods with and without adult-use marijuana retailers. The study is titled “Marijuana dispensaries and neighborhood crime: Evidence from a statewide natural experiment in Ohio.”
Researchers reported “consistently robust decreases in total Part 1 [serious] crime and total property crime” following dispensary openings.
The second study was published on the website of the Social Science Research Network. It determined that dispensary openings drive customer growth at nearby establishments.
Both studies add to a growing body of research on the effects of licensed cannabis retailers on the communities where they operate.
Why Licensed Operators May Deter Crime
Consistent with other studies, researchers suggest that licensed cannabis operators reduce neighborhood crime rates by hiring doormen, installing alarm systems and video surveillance cameras, and taking other steps to deter would-be criminal offenders.
The declines were observed in serious crime and property crime categories following dispensary openings.
The full text of the study appears in the Journal of Criminal Justice.
Nearby Businesses See Measurable Gains
The Social Science Research Network study quantified the economic impact on neighboring shops.
It found that “recreational dispensary openings increase the number of customers at nearby establishments by approximately 6.82 percent, transactions by 8.01 percent, and revenue by 7.47 percent.”
Food and beverage businesses were most likely to experience economic upticks following dispensary openings. The full text of the study is available from the Social Science Research Network.
Commenting on the studies’ findings, NORML’s Deputy Director Paul Armentano said, “These results are consistent with those of numerous other studies showing that licensed cannabis businesses displace unregulated markets, limit youth access, and provide important improvements to local economies and to public safety.”
