Willingness to Pay for Legal Cannabis

Last registered on June 29, 2026

Pre-Trial

Trial Information

General Information

Title
Willingness to Pay for Legal Cannabis
RCT ID
AEARCTR-0018999
Initial registration date
June 23, 2026

Initial registration date is when the trial was registered.

It corresponds to when the registration was submitted to the Registry to be reviewed for publication.

First published
June 29, 2026, 8:40 AM EDT

First published corresponds to when the trial was first made public on the Registry after being reviewed.

Locations

Region

Primary Investigator

Affiliation
University of Zurich

Other Primary Investigator(s)

PI Affiliation
ETH Zurich, KOF Swiss Economic Institute
PI Affiliation
ETH Zurich, KOF Swiss Economic Institute
PI Affiliation
University of Michigan, School of Information
PI Affiliation
ETH Zurich, KOF Swiss Economic Institute

Additional Trial Information

Status
On going
Start date
2026-05-27
End date
2031-08-25
Secondary IDs
Prior work
This trial does not extend or rely on any prior RCTs.
Abstract
We measure cannabis users’ willingness to pay for legal cannabis using an incentive-compatible procedure. We also use a controlled experiment to study the causal impact of i) information about the prevalence of potential health risks in illegal-market cannabis and ii) consumption experience with legal cannabis on the demand for legal cannabis products.
External Link(s)

Registration Citation

Citation
Arman, Arto et al. 2026. "Willingness to Pay for Legal Cannabis." AEA RCT Registry. June 29. https://doi.org/10.1257/rct.18999-1.0
Sponsors & Partners

Sponsors

Partner

Experimental Details

Interventions

Intervention(s)
As part of the enrollment process, all participants will be invited (on a voluntary basis) to submit 2 grams of their own illegal-market cannabis for laboratory analysis.

The study consists of two online surveys (i.e., Survey 1 and Survey 2). In both surveys, we elicit participants’ willingness to pay (WTP) for legal cannabis products using an incentive compatible Becker-DeGroot-Marschak (BDM) method. After completion of Survey 1 participants will be randomly allocated into one of the following four experimental groups:


1. Treatment “Experience”: After completion of Survey 1, participants receive CHF 10 (as part of their participation fee) which they can use to obtain a sample of legal cannabis flowers with 12% THC.

2. Treatment “Info”: After completion of Survey 1, participants receive CHF 10 (as part of their participation fee) in the form of a voucher for a major online retail store (the voucher cannot be used to purchase legal cannabis). At the beginning of Survey 2, participants receive aggregated information from a laboratory analysis of illegal-market cannabis samples. Specifically, they are informed about the share of analyzed samples that exhibited at least one potential health risk, defined as (i) THC content below 1% (strong indication of contamination with synthetic cannabinoids), (ii) pesticide contamination, or (iii) mold contamination.

3. Treatment “Experience & Info”: This group combines treatments Experience and Info. Participants receive CHF 10 (as part of their participation fee) which they can use to obtain a sample of legal cannabis as in treatment Experience. In addition, they receive the laboratory information on the share of samples exhibiting at least one potential health risk, as described in treatment Info.

4. Control group: After the completion of Survey 1, participants from the control group receive CHF 10 (as part of their participation fee) in the form of a voucher for a major online retail store (the voucher cannot be used to purchase legal cannabis). Participants do not receive any information on the prevalence of potential health risks in illegal-market cannabis.
Intervention Start Date
2026-08-11
Intervention End Date
2028-08-25

Primary Outcomes

Primary Outcomes (end points)
Willingness to pay for legal cannabis
Primary Outcomes (explanation)
see pre-analysis plan

Secondary Outcomes

Secondary Outcomes (end points)
Perceived health risks in illegal cannabis
Expected potency of legal-market cannabis
Secondary Outcomes (explanation)
see pre-analysis plan

Experimental Design

Experimental Design
Context:

In May 2021, the Swiss government amended the Federal Narcotics Act (NarcA), enabling pilot trials for recreational cannabis under the BetmPV ordinance (BetmPV, 2021). Our study is part of a pilot trial in the Canton of St. Gallen and is conducted in collaboration with our field partner, the non-profit Cannabis Research Association (Verein Cannabis Research, VCR). VCR is responsible for the operational and legal aspects of the pilot trial, including establishing distribution channels and serving as the primary point of contact for study participants. The research team is responsible for the study design and independent scientific evaluation.
The pilot trial comprises two parts that draw on a common subject pool but address independent research questions.

Part 1 (this preregistration) precedes Part 2 and studies the WTP for legal cannabis, as detailed in this preregistration

Part 2 (to be preregistered separately) is a randomized controlled trial (RCT) that measures the effects of legal access to cannabis on consumption, crime, employment, and education, with a particular focus on distribution models (i.e., physical retail outlets versus home delivery).

Recruitment and Eligibility:

Part 1 and 2 of the pilot trial draw from a common participant pool. Screening and eligibility assessment are conducted jointly for both parts and follow the inclusion and exclusion criteria set out in the federal regulation (Article 14 BetmPV, 2021).
The study uses a cohort-based rollout. Recruitment and eligibility screening occur continuously, but participation begins at fixed points in time. We plan to recruit multiple cohorts with start dates spaced about two to three months apart. All participants who are considered eligible by a given cutoff date enter the study together as a cohort.
Within each cohort, participants are randomly assigned to either Part 1 or directly to Part 2. Assignment to Part 1 will continue until either (i) the overall target sample size of 2,500 participants who have completed both Survey 1 and Survey 2 is reached or (ii) two years after the start of the first cohort. The remaining participants proceed directly to Part 2 without participating in Part 1. Part 1 has a duration of approximately ten weeks. Only those participants who complete all required surveys in Part 1 are eligible to continue to Part 2.
Part 1 includes a four week buffer period before the start of Part 2. Participants who are not assigned to Part 1 enter Part 2 after a waiting period of approximately ten weeks. The share of participants randomly selected for Part 1 within each cohort depends on the number of eligible applicants. For Part 1 we aim for a total of 2,500 participants who have completed Survey 1 and 2.. We additionally recruit up to 10 participants for an initial test cohort. This cohort will start before the official launch and is intended to test all study procedures of Parts 1 and 2. Data from the test cohort will not be included in the main analysis.

Randomization and Treatment Assignment:

Eligible participants who are selected for participation in Part 1 will be randomly assigned (further details on randomization below), with equal probability, to one of the four experimental conditions.

Data Collection:

As part of the enrollment procedure all participants from Parts 1 and 2 complete a baseline survey. Participants will be invited (on a voluntary basis) to submit 2 grams of their own illegal-market cannabis for laboratory analysis. Upon submitting a sample, they are also asked to complete a very short questionnaire about their illegal-market sample (the “illegal-market sample survey”).
Participants who are randomly selected for Part 1 will be invited to complete two online surveys (Survey 1 and 2) that are administered four weeks apart. These surveys serve as our main data source for Part 1 and are used to elicit participants’ WTP using an incentive-compatible BMD method. In the BDM, participants may use part of their participation fee of CHF 80 to purchase 4 grams of a legal cannabis product.
In each survey round, we elicit participants’ WTP for four legal cannabis products: (i) cannabis flowers with THC concentrations of 5% THC, (ii) 12% THC, (iii) 20% THC, and (iv) hashish with 20% THC. After completion of Surveys 1 and 2, the computer randomly selects one BDM decision and a corresponding price for each participant and implements the outcome accordingly.
The surveys also elicit participants’ qualitative and quantitative prior and posterior beliefs about the prevalence of potential health risks in illegal-market cannabis. We also measure beliefs about psychoactive potency, consumption experience, and purchasing convenience of legal-market cannabis. Subjects further complete a hypothetical BDM to measure their WTP for illegal-market cannabis. All survey instruments and the full BDM instructions are included as supporting documents with this preregistration.

Experimental Design Details
Not available
Randomization Method
Randomization done by statistical software
Randomization Unit
We create clusters based on spatial proximity and information on the applicants’ social network (see Experimental Design for details). We randomize at the unit of clusters to minimize spillovers.
Was the treatment clustered?
Yes

Experiment Characteristics

Sample size: planned number of clusters
Due to the rolling admission process, we do not know the number and size of clusters ex ante
Sample size: planned number of observations
We aim to recruit a sample size of 2,500 participants who have completed both Survey 1 and 2.
Sample size (or number of clusters) by treatment arms
We target the following approximate number of participants per treatment arm:
• Control group: 625 participants
• Experience: 625 participants
• Info: 625 participants
• Experience + Info: 625 participants
Minimum detectable effect size for main outcomes (accounting for sample design and clustering)
IRB

Institutional Review Boards (IRBs)

IRB Name
Human Subjects Committee of the Faculty of Economics, Business Administration, and Information Technology, University of Zurich
IRB Approval Date
2025-10-21
IRB Approval Number
OEC IRB # 2025-098
IRB Name
ETH Zurich Ethics Commission
IRB Approval Date
2025-09-17
IRB Approval Number
25 ETHICS-268