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Weed is illegal in Austin and I don't partake, but I'd guess people buy in bulk, drive it in from out of state, and resell at 20-50% markup over dispensary prices. I'm purely guessing, but I'd expect it's $40-60 per 1/8th.
$40 for an ounce of shake isn't that surprising. I've seen $100 for high quality shake - something you'd make ice water hash with.
I guess the legality of it changes the market quite a bit. I hear up in Oregonthey are practically giving it away. I have watched prices continue to fall where I am.
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