The closure of medical marijuana dispensaries is associated with an increase in larceny, property crimes, and other criminal activities, according to data published in the Journal of Urban Economics.
Researchers at the University of Southern California and the University of California, Irvine assessed the impact of dispensary closures on neighborhood crimes rates in the city of Los Angeles. Investigators analyzed crime data in the days immediately prior to and then immediately after the city ordered several hundred operators to be closed. Authors reported an immediate increase in criminal activity – particularly property crime, larceny, and auto break ins – in the areas where dispensary operations were forced to close as compared to those neighborhoods were dispensaries remained open.
“[W]e find no evidence that closures decreased crime,” authors wrote. “Instead, we find a significant relative increase in crime around closed dispensaries.” Specifically, researchers estimated that “an open dispensary provides over $30,000 per year in social benefit in terms of larcenies prevented.”