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State Recreational Cannabis Laws and Racial Disparities in the Criminal Legal System

Author

Listed:
  • Angélica Meinhofer
  • Adrian Rubli
  • Jamein P. Cunningham

Abstract

We estimate the direct and spillover effects of cannabis legalization on longstanding racial disparities in criminal justice outcomes. We find that legalization reduces cannabis possession and sales arrests for White and Black populations, narrowing but not eliminating disparities. We also find spillover increases in hospitalizations involving cannabis and other illegal drugs. However, spillovers on arrests, incarcerations, and crimes involving serious violent or property offenses are insignificant or even decrease. Other illegal drug sales arrests decrease across populations, while illegal drug incarcerations decrease only among White populations. Spillovers on other low-level offenses are insignificant for White but mixed for Black populations.

Suggested Citation

  • Angélica Meinhofer & Adrian Rubli & Jamein P. Cunningham, 2026. "State Recreational Cannabis Laws and Racial Disparities in the Criminal Legal System," American Economic Journal: Economic Policy, American Economic Association, vol. 18(2), pages 346-374, May.
    • Handle: RePEc:aea:aejpol:v:18:y:2026:i:2:p:346-74
    DOI: 10.1257/pol.20230670
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    More about this item

    JEL classification:

    • I12 - Health, Education, and Welfare - - Health - - - Health Behavior
    • J15 - Labor and Demographic Economics - - Demographic Economics - - - Economics of Minorities, Races, Indigenous Peoples, and Immigrants; Non-labor Discrimination
    • K14 - Law and Economics - - Basic Areas of Law - - - Criminal Law
    • K41 - Law and Economics - - Legal Procedure, the Legal System, and Illegal Behavior - - - Litigation Process
    • K42 - Law and Economics - - Legal Procedure, the Legal System, and Illegal Behavior - - - Illegal Behavior and the Enforcement of Law

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