Since the legalization of recreational weed in Colorado about a year ago, the industry has been growing, but the price of the product itself has been dropping, a new survey reveals.

New York-based global brokerage company Convergex surveyed owners of marijuana stores in Colorado and found that the customer base itself was increasing while the prices seemed to be dropping quickly. 

According to the survey, the price of an ounce of recreational marijuana has dropped from $50-$70 to $30-$40. Sales have increased 98% since April.

It also looks like people are spending less per visit. For the 100-300 customers who walk into dispensaries daily, each person is now spending an average of $50 per visit compared to $100 in June 2014. 

The current 10% sales tax on recreational marijuana will also be dropped to 8% by 2017 to try and curb the black market. 

The findings are consistent with the natural process of a new market trying to find its equilibrium.

Cover image: Flickr