Getting into the Weeds: Competition and Cheating in the Washington State Marijuana Market

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Abstract/Contents

Abstract
To sustain profitability, firms strive to gain any edge over their competitors: sometimes even acting illegally. This paper looks into the effect of the level of competition on the rates of license violations within the Washington State Recreational Marijuana Market. I exploit a 2016 policy change in which some counties received a bump in the amount of firms allowed to operate in the county, while others did not. Using a difference-in- differences approach around this competition shock, this paper finds that counties that received more licenses were correlated with significant, higher levels of license violations than those that did not.

Description

Type of resource text
Date created May 3, 2019

Creators/Contributors

Author Patton, Henry
Degree granting institution Stanford University, Department of Economics
Primary advisor Clerici-Arias, Marcelo
Advisor Larsen, Brad

Subjects

Subject Department of Economics
Subject Stanford University
Subject Competition
Subject Marijuana
Subject Washington
Subject Cheating
Subject Difference-in-Differences
Subject License
Subject County
Subject Regulation
Genre Thesis

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User agrees that, where applicable, content will not be used to identify or to otherwise infringe the privacy or confidentiality rights of individuals. Content distributed via the Stanford Digital Repository may be subject to additional license and use restrictions applied by the depositor.
License
This work is licensed under a Creative Commons Attribution Non Commercial 3.0 Unported license (CC BY-NC).

Preferred citation

Preferred Citation
Patton, Henry. (2019). Getting into the Weeds: Competition and Cheating in the Washington State Marijuana Market. Stanford Digital Repository. Available at: https://purl.stanford.edu/fy191fg5303

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Stanford University, Department of Economics, Honors Theses

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