Did Recreational Marijuana Legalization Increase Crime in the Long Run?

Abstract

This study investigates the comprehensive effects including dynamic, time, and group effects of legalizing recreational marijuana on crime rates, focusing on states that enacted such legislation in 2012 and 2014. Utilizing the Difference-in-Differences design to account for staggered treatment adoption, the current study examines the long-term impact of recreational marijuana legalization in multiple treated states. The results indicate that the legalization of recreational marijuana is associated with substantial and sustained increases in both property crime rates and violent crimes over time. Particularly, instances of property crime, larceny, and burglary exhibited significant and immediate spikes following the implementation of RML, with these heightened tendencies persisting consistently over time. This research contributes to the ongoing discourse surrounding the societal implications of RML, providing valuable insights for policymakers and law enforcement agencies.

Keywords: Recreational marijuana legalization, Crime rate, Difference-in-differences with multiple time periods