The Effects of Recreational Marijuana Dispensaries on Local Opioid Mortality

Lippman 012

This study examines how recreational marijuana dispensaries in Colorado affect opioid mortality at the county level. Using a difference-in-difference model with county and year fixed effects, I estimate the impact of recreational marijuana dispensary access on fatal opioid overdoses. Additionally, I employ distance from a major roadway and border as two instrumental variables to help limit the endogeneity associated with the location of dispensaries. Previous studies have shown that medical and recreational marijuana dispensary access decreases opioid mortality at the state level. Still, no study has explored the connection between recreational marijuana dispensaries and overdoses at the county level. Using data from the CDC, Colorado Department of Revenue, US Census, and other sources, I found that under some specifications, a higher number of dispensaries is associated with an approximately 6% decline in opioid mortality. However, this result was not robust under every specification. Given the worsening opioid crisis in the United States and the failure of the war on drugs, research into alternate methods of reducing opioid mortality is critical.