That might make sense, but there's still a significant problem here. The government will only have control as long as they sell their marijuana really cheap. Maybe that's acceptable in America, but it sure wouldn't be here. Cigarettes are taxed really high because they're damaging to health. If they were to sell marijuana for 1/10th of the price of tobacco, that would just be paradoxal.
If the only way to have control of the market is to sell cheaper than the homegrowers, then it's not really control at all.
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