The middle ground on this issue (which Palin apparently advocates), is the worst possible solution. You increase demand but keep sale and transportation illegal. That increases price and the result is most of the ills of drugs being illegal in the first place with none of the benefits.
If you are going to legalize use, you have to legalize growing, sale and transportation also.
Problem is, stoned people are a annoyance. There's nothing worse than trying to have a conversation with someone who is hopped up and glassy-eyed. After a few minutes you realize you've been wasting your time and ask them to come back some time when they have their wits about them.