Exploring Associations between Cannabis Prices, Stores, and Usage after Recreational Legalization

What is it about?

After Canada legalized recreational cannabis, licensed cannabis store numbers grew 13-fold, while cannabis prices fell 28%. This study found that the percentage of people who consumed cannabis rose among women and people aged 25 and up but not among men and people aged 16–24. The growth was greater when cannabis was cheaper but seemed unrelated to store numbers. Smoking dried cannabis became less common, whereas eating cannabis-infused foods became more common. That switching was greater when prices were lower but seemed unrelated to the number of stores. The average age when consumers first used cannabis also increased, especially when there were lower prices and more stores. The percentage of cannabis consumers who used the substance daily did not increase. Overall, Canadian cannabis usage experienced relatively modest changes during 2019–2023, especially when compared to the greatly increased retail accessibility and affordability. The changes that did occur seemed related more to prices decreases than to store increases.

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Why is it important?

Past research has shown that cannabis consumers expect convenient access and low prices. My results imply that regulators can safely allow large numbers of stores, because that will provide good access. However, they should prevent prices from falling to low, because that seems to entice new consumers.