THE MARIJUANA 'INDUSTRY' -- REAL OR IMAGINED

At this point in time, it may be a moot point to discuss whatever
medical merits marijuana may have because the legal machinery to
legalize it are firmly in place with a measure on this November's
ballot. Nearly 700,000 registered voters petitioned the State of
California to have marijuana considered for legalization and statewide
taxation. Supporters of the initiative maintain that legalization
would generate billions of dollars in revenue that could be used for
transportation, healthcare and education. Sales to or possession by
minors would still be banned. While supporters are quick to point out
economic benefits, others say the initiative will result in increased
marijuana use, cause the same kind of social ills as alcohol and
tobacco and put more demands on law enforcement.

Whatever scenario will play out is anyone's guess, but both sides may
be a little guilty of making exaggerated claims. For example,
marijuana continues to be illegal as defined by our federal
government, even though 34 states have enacted laws recognizing the
plant. Regardless of State ballot initiatives that recognize marijuana
as a legitimate medicament, people are subject to arrest by federal
officials for possession or cultivation of marijuana. Also, it is
illegal to ship or receive marijuana by mail. Ironically, a law making
medical marijuana legal in the District of Columbia was recently
passed, but federal law trumps state law, although from a strict
interpretation of the U.S. Constitution, states rights should prevail.

While Prop 9, the measure to legalize marijuana is fast approaching,
polls have been conducted to shed some light on public opinion, and in
one poll taken by CBS News,

58 percent of Americans say marijuana should be illegal, but in most
polls recently surveyed, citizens are fairly divided on the subject.

Now, fully legalized marijuana cultivation and processing would
necessarily entail federal support, because without it, no truly
viable "industry" could ever flourish. Consider the lending
institutions that loan out huge sums of money to legally operating
businesses. There's a slim chance that any major lender insured by the
FDIC would support any business enterprise not sanctioned by the
federal government. So in any discussion of creating industry
standards for the maligned weed, consider how conservative investors
may shy away from marijuana farmers who fear reprisals from the
federal government.