Paper: Does Marijuana Legalization Affect Work Capacity? Evidence From Workers Compensation Benefits

CANNANNEW REPORT

Abstract We study the effect of state recreational marijuana laws (RMLs) on workers’ compensation (WC) benefit receipt among adults 40-62 years. We find that WC receipt declines in response to RML adoption both in terms of the propensity to receive benefits and benefit amount. We estimate complementary declines in non-traumatic workplace injury rates and the incidence of worklimiting disabilities. We offer evidence that the primary driver of these reductions is an improvement in work capacity, likely due to access to an additional form of pain management therapy. Rahi Abouk William Paterson University Department of Economics, Finance, and Global Business 300 Pompton Road Wayne, NJ 07470 aboukr@wpunj.edu Keshar M. Ghimire Business and Economics Department University of Cincinnati – Blue Ash 9555 Plainfield Road Blue Ash, OH 45236 USA ghimirkr@ucmail.uc.edu Johanna Catherine Maclean Department of Economics Temple University Ritter Annex 869 Philadelphia, PA 19122 and NBER catherine.maclean@temple.edu David Powell RAND Corporation 1776 Main Street P.O. Box 2138 Santa Monica, CA 90407 dpowell@rand.org   Paper w28471

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Source : Paper: Does Marijuana Legalization Affect Work Capacity? Evidence From Workers Compensation Benefits

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