Option #1: Legalization of Cannabis

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Option #1: Legalization of Cannabis

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Recently, a few states have legalized the recreational use of cannabis (marijuana). Respond to the following questions/topics:

• How has the legalization impacted the market for this good? Very briefly discuss the price elasticity of demand for the good and what determines the elasticity.
• In light of your readings for this week, how would you anticipate the market to change over the next few years?
• Briefly discuss a substitute good and a complementary good for legal cannabis.
• Create a supply-demand graph illustrating one of the shifts discussed in your paper, and explain the shift.

Requirements:

• Your paper should be at least 2 pages in length and must conform to the CSU-Global Guide to Writing and APA Requirements.
• Include a supply-demand graph.
• Incorporate at least three scholarly references that are not required readings for this module. The CSU-Global Library is a good place to find these references.