Abstract
We study the relationship between cannabis use and early labor market experiences of young men, focusing on the time it takes them to find their first job, and the wage rate they receive at that job. We find that early cannabis users accept job offers more quickly and at a lower wage rate compared with otherwise similar males who did not use cannabis. These differences are present only for those who use cannabis for longer than a year before starting their job search. We also find that early cannabis users are less likely to return to education and, as a consequence, will have a lower educational attainment. Overall, our findings provide new insights into the direct and indirect relationships between cannabis use and early labor market experiences.
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