[2] More generally, "border effect" also refers to the tendency of people to purchase consumer goods in a locality that borders another jurisdiction where the desired good is either illegal or highly expensive.
The small town of Whiteclay, Nebraska, which borders Oglala Lakota County, South Dakota, was previously noted for its role as a seller of alcohol to the Pine Ridge Indian Reservation (where alcohol is illegal).
The border effect has been repeatedly observed in the United States since 2014, when the first legalized cannabis sales began in Colorado; it has since spread to various other states with legalized cannabis.
A notable example is Ontario, Oregon, which borders Idaho and first opened cannabis dispensaries in 2019.
[3] Total cannabis sales from Ontario dispensaries topped $100 million in December 2020.