Business prospects are looking better than ever for the marijuana industry. New research reports continue to predict that medical marijuana and legalization will pass in coming years for many or possibly all US States.
Research and analysis by GreenWave Advisors, LLC predicts that 12 States plus the District of Columbia will have legalized recreational marijuana in addition to Colorado and Washington by 2020, based on current trends and existing marijuana legislature in states, which would correspond to a $21 billion industry.[i] GreenWave Advisors is a new company with the mission “To help investors understand the complexities in the burgeoning legalized marijuana industry by providing bottom up fundamental analysis throughout the marijuana ecosystem.”
The report also makes the following conclusions: “Federal law on marijuana will likely change,” “The medical and adult use [recreational] marijuana markets will likely merge into one substantially larger market,” and most significant of all, “U.S. retail marijuana sales revenues could reach ~$35 billion/year by 2020, if full legalization occurs in all 50 States and D.C.”
The Washington Post notes that the $35 billion figure that would result if marijuana was legalized at the federal level would be more than the $10 billion annual revenue of the NFL, and comparable to the newspaper publishing and confectionary industries, which are $38 and $34 billion.[ii] As also reported by The Huffington Post, the GreenWave Advisors model predicts the next States to legalize recreational marijuana will be Alaska, Arizona, California, Hawaii, Maine, Maryland, Massachusetts, Nevada, New Hampshire, Oregon, Rhode Island, and Vermont.[iii]
Like the end of prohibition on alcohol, their report predicts that the loosening of marijuana prohibition will greatly expand the emerging legalized industry. This is exciting news for those getting involved in the marijuana business, because it means conditions are now ideal for growth.
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