Ahead Intel blog Affordable Weed in Canada

Affordable Weed in Canada

The first step in assessing cannabis market impacts and understanding demand requires data on prices. Until recently, researchers and policy-makers have been limited by the lack of data on cannabis prices in Canada.

Affordable Weed in Canada , crowdsourcing websites have emerged that allow individuals to anonymously report price information about their cannabis purchases. These websites offer a number of advantages over traditional surveys, including access to larger sample sizes and the ability to collect supplemental information on user characteristics.

Data from these websites is being used to estimate cannabis prices and price elasticities. Estimates are based on approximately 9,000 transactions reported to the Price of Weed website between 2011 and 2015. Transactions include price, self-perceived quality, and size of purchase.

Affordable Weed in Canada: Quality Without the Price Tag

These estimates are compared to prices listed on the websites of licensed medical producers. Prices are found to be significantly lower on average in Canada than the United States, but the difference is more pronounced for large quantities purchased.

While these estimates are useful, the Price of Weed dataset is limited by its use of a convenience sample and the fact that users can submit as many prices as they wish. Consequently, it may not represent a random or representative sample of Canadians. Additionally, the lack of information on user characteristics precludes comparisons by user demographics. Future research should focus on improving survey instruments to capture information on demographic characteristics and product characteristics. This would allow for more robust estimations of price elasticity.

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