February 18, 2022

Herbonomics: The Economics of the Herb

In this second episode of Herbonomics on Cannabis Tech, we speak Beau Whitney, a global leader in cannabis and hemp economics, and the namesake for our new podcast.

As the founder and Chief Economist at Whitney Economics, and one of the leading cannabis economists in the United States, Beau knows economics – more specifically, Beau knows cannabis economics and the supply chain.

Beyond his own firm, Whitney is also a member of the American Economic Association, the Oregon chapter president of the National Association for Business Economics, is a member of multiple regulatory advisory committees throughout the U.S. and participates on the Oregon Governor’s Council of Economic Advisors.

Defining Herbonomics

Mr. Whitney explains how the play on words, Herbonomics, really defines how he became involved in cannabis. Teaching economics, a student asked for his advice regarding business financials for a business in the cannabis industry, triggering his own interests eventually leading to the creation of Whitney Economics.

Today, Whitney Economics and New Frontier Data analyses of various cannabis markets have been mentioned in publications such as Bloomberg, Wall Street Journal, and the New York Times, just to name a few.

US Cannabis Business Conditions Survey

The latest report from Whitney Economics, the US Cannabis Business Conditions Survey dives into the state of the industry. Whitney explains the focus of the survey, some of the key data findings, and where businesses face the greatest challenges.

One key data figure to note, the survey found that only 42 percent of cannabis businesses are profitable. And as Whitney points out in the interview, that’s 58 percent of businesses who are floundering.

Other Challenges and Opportunities

Clearly, banking is still one of the number concerns for cannabis business owners. Whitney talks about hopes for legislation to include traditional financial tools and services for the cannabis industry.

Tony Solano, Co-Host of Herbonomics and founder at iHemp Manufacturing, asks Whitney to elaborate on the value proposition of the hemp industry in the United States. “Where’s the major impact and opportunities?”

Jobs as Part of the Economic Vision

An article recently declared that 1 in 10 new jobs created in Missouri in 2021 was part of the medical cannabis program. As part of the big picture, Whitney also follows and reports on the jobs in cannabis and hemp.

Working on a new report with Leafly, Whitney couldn’t go into detail regarding the current state of the industry but said the new report is coming soon. Likewise, as the hemp industry continues to blossom from state to state, the hemp industry also is offering a number of new employment opportunities.

Get all the details – tune into the video podcast on our YouTube channel or find us wherever you get your favorite podcasts!