Marijuana dispensaries and neighborhood crime: Evidence from a statewide natural experiment in Ohio

Across the U.S., many states have, or are considering, legalizing marijuana. In states that legalize marijuana, marijuana stores (dispensaries) are opening to sell marijuana for medical and/or recreational use. Theoretically, the start of recreational sales may attract offenders and deviant behavior. Therefore, as dispensaries begin recreational sales, examining whether there are subsequent shifts in crime is worth scholarly attention to inform policymakers. On August 6, 2024, sales of recreational marijuana by dispensaries began in Ohio. Treating this start of recreational sales as a natural experiment, this study executes both synthetic and canonical difference-in-differences analyses, comparing census tracts with a recreational dispensary to control census tracts with no dispensary. Findings revealed consistent decreases in total Part 1 crime and total property crime, but no substantive impacts on other crime types. There was no evidence of displacement to adjacent census tracts. We discuss the implications of these findings.