“The Audacity of Dope.”

“Marijuana is California’s largest cash crop. It’s valued at $14 billion annually, or nearly twice the value of the state’s grape and vegetable crops combined, according to government statistics…But the state doesn’t receive any revenue from its cash cow. Instead, it spends billions of dollars enforcing laws pegged at shutting down the industry and inhibiting marijuana’s adherents.” Also in Slate: In the wake of California’s money troubles, Daniel Gross makes the economic case for marijuana decriminalization.

“So what are the numbers? A national legalization effort would save nearly $13 billion annually in enforcement costs and bring in $7 billion in yearly tax revenues, according to a study by Harvard University economist Jeffrey Miron…That doesn’t include any indirect revenues as, for example, rural farming communities grow or marijuana tourism, which has been lucrative for the Netherlands, takes off.“

The obvious economic benefits aside, it’s well nigh time to establish a sane drug policy in this country. And weed in particular is an easy call. We haven’t had a drug-free American president since 1992 (at best), and yet we still pretend that a goofball like Michael Phelps ripping bong hits is some sort of egregious sin? Time to grow up, people.

Shattered Glass.

“The Glass-Steagall Act is the Depression-era law that separated commercial and investment banking. It was functionally repealed in 1998, when Travelers (the parent company of Salomon Smith Barney) acquired Citicorp. And it was officially repealed in 1999. But recent events on Wall Street — the failure or sale of three of the five largest independent investment banks — have effectively turned back the clock to the 1920s, when investment banks and commercial banks cohabited under the same corporate umbrella.” As Wall Street takes a dive in the wake of several bank failures and near-failures — but, don’t worry, the fundamentals of the economy are strong and everything — Newsweek‘s Daniel Gross briefly discusses the end of the Glass-Steagal era, and what it means for the American economy.

The New Deal fights on.

“Despite sustained efforts to tear down the New Deal — from the repeal of the Glass-Steagall Act in 1999 to President George W. Bush’s ill-fated 2005 efforts to dismantle Social Security — the 1930s-vintage infrastructure has proved remarkably durable…Although the Tennessee Valley Authority has yet to pitch in, four 70-year-old agencies are helping to cushion the blow of the housing bust. Let’s count them.” Slate‘s Daniel Gross examines how the New Deal is working to mitigate today’s credit crisis. (He also has a funny line about Sen. Clinton’s bizarre call yesterday to have Greenspan wave a magic wand to fix things: This “is a little like Chicago appointing a cow to a panel on preventing disastrous fires.“)