The legalization of recreational cannabis reduces the demand for prescriptions filled through state Medicaid programs, according to a study by researchers affiliated with Cornell University and Indiana University. The researchers also documented a significant decrease in the number of prescriptions for types of drugs commonly prescribed to treat pain, depression, anxiety, sleep, psychosis, and seizures.
Shyam Raman, a doctoral student in the Cornell Jeb E. Brooks School of Public Policy, and Indiana University doctoral student Ashley Bradford conducted an analysis of data obtained from the Centers for Medicare and Medicaid Services for all 50 states from 2011 to 2019. The timing of the research coincided with the legalization of cannabis in nearly a dozen states.
“These results have important implications,” Raman told the Cornell Chronicle. “The reductions in drug utilization that we find could lead to significant cost savings for state Medicaid programs. The results also indicate an opportunity to reduce the harm that can come with the dangerous side effects associated with some prescription drugs.”
In states that had legalized recreational cannabis, the researchers saw a significant change in the number of prescriptions to treat sleep and anxiety disorders. But they did not see a meaningful impact on the number of prescriptions to treat nausea.
The study, “Recreational Cannabis Legalizations Associated with Reductions in Prescription Drug Utilizations Among Medicaid Enrollees,” was published on April 15 in the journal Health Economics. The researchers noted that other studies have focused on the impact legalizing medical cannabis has on the use of opioids. But this is one of the first studies that focused on how legalizing cannabis for use by adults can influence the use of a broad range of prescription drugs. The researchers noted that the