Canadian CANNAINVESTOR Magazine October 2017 - Page 119

This opinion piece appears to be a defence of the existing Black Market supply and distribution system while serving also as an attack on the legal regulated adult recreational market that will be replacing that illegal black market. Opinion pieces disguised as articles that may be filled with irrelevant and misleading analogies, details, and so forth are a disservice in my opinion – for example, where is the evidence or information that warrants the conclusion that there will not be access to credit and as result will lead to the insolvency of “many cannabis companies”? Forecasts predict this industry to expand well into the mid to

latter 2020’s so what is the relevance of the rhetorical “inevitable economic slow-down” question? Not sure of any industry or economy that is immune to periods of economic upticks and downticks but to be in an industry with a 10 plus year expansion forecast quite possibly offers more potential upside than it does potential downside.

In a previous article, this same writer expressed concerned over our system of governance criticizing the knowledge of elected officials and specifically with respect to cannabis as evidenced by one elected official expressing confusion over cannabis decarboxylation. That is precisely why there is a large bureaucracy because no reasonable member of society expects each and every elected official to be a subject matter expert on each and every issue.

2 A Popular personality in this space warned his audience in early July that the Analysts, the Government, and the LPs themselves have it all wrong and in fact there will be excess supply in the Adult Recreational Market causing price deflation that in turn will adversely affect companies and by extension shareholders. As a result, this individual has a Bearish outlook for the industry until as late as mid-2020. Subsequently, this same individual took to social media warning the Canadian Government to ensure the same supply shortages plaguing Nevada does not happen in Canada.