So you want to sell marijuana across state lines
Planet Money29 Nov 2023

So you want to sell marijuana across state lines

In the state of Oregon, there is a glut of grass. A wealth of weed. A crisis of chronic.

And, jokes aside, it's a real problem for people who work in the cannabis industry like Matt Ochoa. Ochoa runs the Jefferson Packing House in Medford, Oregon, which provides marijuana growers with services like drying, trimming and packing their product. He has seen literal tons of usable weed being left in marijuana fields all over the state of Oregon. Because, Ochoa says, there aren't enough buyers.

There are just over four million people in Oregon, and so far this year, farmers have grown 8.8 million pounds of weed. Which means there's nearly a pound of dried, smokable weed for every single person in the state of Oregon. As a result, the sales price for legal marijuana in the last couple of years has plummeted.

Economics has a straightforward solution for Oregon's overabundance problem: trade! But, Oregon's marijuana can only be sold in Oregon. No one in any state can legally sell weed across state lines, because marijuana is still illegal under federal law. On today's episode, how a product that is simultaneously legal and illegal can create some... sticky business problems.

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