Association for Public Policy Analysis & Management

Recreational Marijuana Laws (RML) have now been adopted in ten states and Washington D.C. It is possible that these policy changes might make the states more attractive places to live. One concern for state and local governments is selective in-migration that could be a drain on state resources if the migrants disproportionately use government provided benefits. States may also worry about an increase in homelessness and addiction. However, it is difficult to establish a causal link between the RML and migration as it is possible that these states have relatively favorable economic conditions and would have experienced in-migration regardless of the RML.

In this paper, we study the effects of marijuana regulations on net migration flows between states. The results of the analysis shed light on how much people value the freedom to legally buy and sell marijuana. The results also provide a way to assess the extent to which changes in population-level drug use are produced by behavioral changes or composition of the state population.