Abstract
Small cannabis companies in state-regulated markets have driven extraordinary job creation and economic growth, but now face extinction as consolidation looms. Government intervention can build a future populated with prosperous small business growth engines, while failure to act will magnify economic disparity. This Article proposes state-backed loan guarantees, funded by municipal “cannabonds,” as a novel solution to guide the industry toward a healthier and more diverse economic landscape. This approach offers constitutionally resilient strategies to express explicit preference for local stakeholders and inverts traditional risk metrics to leverage historic institutional lending bias as a force for positive change. In doing so, it offers a pathway to vitality in both the cannabis and finance sectors and advances a more inclusive vision of American enterprise.
Recommended Citation
Benjamin C. Varadi, State-Powered Acceleration of Cannabis Economy Growth Engines, 45 Pace L. Rev. 489 (2025)DOI: https://doi.org/10.58948/2331-3528.2110
Available at: https://digitalcommons.pace.edu/plr/vol45/iss2/6
