Question content area

Part $1$

In$2012,$ Colorado and Washington became the first states to legalize marijuana for recreational$$ use, and have since been joined by$$ Oregon, Alaska, and$$ Washington, D$.$C$.$ In$2014,$ Colorado is reported to have received over$$ $$50$ million in tax revenue from the sale of recreational$$ marijuana, much of which was slated to be used for school construction. The potential for increased tax revenues and the benefits these revenues can provide has a number of other states contemplating the possible legalization of$$ recreational$-$use marijuana.

Part $2$

Recall that efficiency means producing what people want at the least cost.

Which of the following responses uses the concept of

efficiency

to argue in favor of states allowing the sale of$$ marijuana?

A$.$

Each state should allow the market to provide what people want. Since smoking is not mandatory ony those who want to partake will do so$.$

B$.$

Tax revenues that arise from the purchase of recreational marijuana are paid voluntarily and will be used for the public good.

C$.$

Marijuana smokers should bear the burden of the social programs required due to drug abuse.

D$.$

All of the above.

E$.$

A and B only.