CBD at work: the impact of cannabidiol access on workplace health

Abstract This paper examines the causal impact of cannabidiol (CBD) product availability on workplace injuries, exploiting Italy’s unintended liberalization of low-THC cannabis as a natural experiment. We use a staggered difference-in-differences approach, leveraging variation in the timing of CBD retailer entries across provinces. We find that CBD availability leads to a reduction in workplace injury rates by 2.5%, with larger effects among young and prime-age workers. Robustness checks confirm these findings, and placebo tests rule out confounding trends. These effects are stronger in provinces with higher pre-existing use of pharmaceuticals commonly prescribed for stress, anxiety, sleep disorders, and chronic therapies. We interpret this pattern as suggestive of a substitution-based channel in which CBD products may represent an additional source of pain and stress management.