unspoken
Member
I predict marijuana prices are actually going to rise in the short term, as the roadblocks on the "demand" side of the equation are immediately lifted, while the legislature has what...a year? six months? to come up with legislation implementing the regulation and licensing of the supply side. In short term there will probably be a large increase in mom and pop sized illegal grows with a corresponding increase in schwag on the market within six months, keeping the low end pricing mostly stable or decreasing, while high grade cannabis will become even more sought after and expensive. This situation will start to reverse itself within 12-24 months as larger facilities begin to be licensed and bring their production online.
In any case it's the low end that's going to suffer the largest price drop first. Those businessmen who are smart and know what they're doing will stay on the high end of the market, taking advantage of their expertise of the plant to bring forth a better and in some way unique product, rather than trying to compete on the low end on mass scale with the huge industrial players.
You are spot on IMO.