Don't legalize it

State governments, misunderstanding markets and ravenous for revenue, exaggerate the potential windfall from taxing legalized marijuana. California thinks it might reap $1.4 billion. But Rosalie Pacula, a Rand Corp. economist, estimates that prohibition raises marijuana production costs at least 400 percent, so legalization would cause prices to fall much more than the 50 percent assumed by the $1.4 billion estimate.

Furthermore, marijuana is a normal good in that demand for it varies with price. Legalization, by drastically lowering price, will increase marijuana’s public health costs, including mental and respiratory problems, and motor vehicle accidents…

Suthers has multiple drug-related worries. Colorado ranks sixth in the nation in identity theft, two-thirds of which is driven by the state’s $1.4 billion annual methamphetamine addiction. He is loath to see complete legalization of marijuana at a moment when new methods of cultivation are producing plants in which the active ingredient, THC, is “seven, eight times as concentrated” as it used to be. Furthermore, he was pleasantly surprised when a survey of nonusing young people revealed that health concerns did not explain nonuse. The main explanation was the law: “We underestimate the number of people who care that something is illegal.”

But they will care less as law itself loses its dignity. By mocking the idea of lawful behavior, legalization of medical marijuana may be more socially destructive than full legalization.