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I. Introduction
a. Thesis statement: This paper will examine how the legalization of marijuana for recreational use has impacted states that have passed such legislation through an analysis of tax revenue generated, arrests and incarceration rates, public health effects, and economic impact on the industries of marijuana production, distribution and sales. Specifically, it will analyze data from Colorado and Washington, the first two states to legalize recreational marijuana.

II. Background on Marijuana Legalization in the U.S.

a. Brief history of marijuana laws in the U.S. dating back to the 1930s and why it was made illegal at the federal level.

b. Changing attitudes towards marijuana beginning in the 1990s with the legalization of medical marijuana in some states.

c. landmark initiatives in Colorado and Washington in 2012 that legalized recreational use for adults over 21.

d. Current state of federal vs. state conflict with marijuana still illegal at the federal level under federal law but legal in some states for medical and/or recreational use.

III. Analysis of Tax Revenue Generated from Legal Marijuana Sales

a. Colorado marijuana sales figures and tax revenue collected since legalization went into effect in 2014. Include charts showing steady increase in sales and tax revenue each year.

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b. How tax revenue in Colorado has been allocated towards education, public health campaigns, law enforcement etc. Impact it has had in helping to fund important state programs.

c. Washington state marijuana sales figures and tax revenue collected since legalization in 2015. Include comparison chart showing Colorado generating significantly higher tax revenue due to earlier start date and larger tourist industry.

d. Possible reasons for discrepancies in tax revenue between the two states and projections for how Washington’s revenue may increase as the market matures. Overall impact of this new tax revenue source for both state budgets.

IV. Impact on Arrests and Incarceration Rates

a. Arrest and incarceration data pre-legalization in Colorado and Washington for marijuana possession crimes.

b. Post-legalization data showing sharp decline in arrests and people serving prison time for low-level marijuana crimes in both states. Speculate reasons why so few since it became legal.

c. Cost savings to state justice systems from decline in marijuana case prosecutions and people serving time. More resources now available for other law enforcement priorities.

d. Some critics argue illegal market still exists; discuss any data on if arrests have just shifted to focus more on illegal grow ops and distribution or remained relatively stable.

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V. Analysis of Public Health Effects

a. Public health concerns that were raised prior to legalization around increased youth use, abuse or dependency, and safety of commercially sold products.

b. Pre and post-legalization survey data from Colorado and Washington on rates of youth vs. adult marijuana use and perceived health risks to gauge if use increased more for youth after legalization.

c. Data on emergency room visits related to accidental or acute health issues from legal marijuana use. Compare to alcohol related visits.

d. Regulation of commercial marijuana in terms of testing, childproof packaging, health warnings and restrictions on sales/marketing to minors. Impact this has had on addressing public health concerns.

e. Future efforts needed in order to better track long term health impacts through ongoing data collection and research on both risks and benefits of marijuana use.

VI. Economic Impact on Regulated Marijuana Industry

a. Number of legal marijuana businesses licensed and people employed in Colorado and Washington’s fledgling industries to produce, process and sell recreational marijuana.

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b. Estimates for total annual sales for Colorado’s and Washington’s legal marijuana industries and comparisons to pre-existing medical marijuana programs. Projections for future growth trends.

c. Trickle down economic benefit with increases in commercial real estate leasing, security companies, inventory packaging and suppliers to the marijuana industry.

d. Competition issues and strategies major alcohol and tobacco companies have employed in relation to the emerging legal marijuana market.

e. Ongoing challenges for marijuana business owners around issues like access to banking due to conflict between state and federal laws. Impact on industry growth potential.

VII. Conclusion

a. Restate thesis and provide a summary of the main findings from the research and data analysis presented on the impact of legalizing recreational marijuana in Colorado and Washington.

b. Suggest some considerations for other states that may legalize recreational marijuana in the future based on lessons learned from Colorado and Washington.

c. Final thoughts on the trajectory of how acceptance of legal marijuana nationwide may continue to develop and impact our society in terms of regulations, public health and economics if current trends continue. Limitations of research and need for ongoing monitoring of impacts.

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