Do state lotteries gain profit thanks to gambling addicts?

During many years lotteries were a perfect source for states to raise millions of dollars for the benefit of educational institutions and homeless shelters.

But recent raids on mobile and online raffles that some of the anti-gambling lawgivers have performed, gave way to some of the states to doubt in this way of earning money. This happened due to the new technologies and games that were introduced. The restrictions will touch the information on the advertising billboards and the methods the tickets are distributed.

Forty-three states plus the DC had their own lotteries. They were used as one of the means to mend the budget gaps. 21 of the states, where lotteries are sold, earned more than $1 billion in 2014, and New York had $9.2 billion, as the North American Association of State and Provincial Lotteries informed. In general, the profit is $70 billion, which comprises 10% of the states’ budget.

Nevertheless, such a great profit is an argument for anti-gambling lawgivers to stress the negative impact of gambling as a means of worsening of other social problems, e.g., homelessness, poverty. etc.

The Stateline has analyzed the measures within which states depend on the raffles. Rhode Island, Massachusetts and South Dakota got $700 per capita in 2014. And 10 other states received only $100 per capita, other states – $250. The amount of sales and other gambling warnings make the authorities to restrict the selling of lotteries by credit cards and promote support services to gambling addictive people.

The bill passed in Minnesota by the state Rep. Chris Swedzinski required 25% of the advertising billboards to be dedicated to concerns and warnings as to gambling addiction.

The other issues that are expressed whether it is worth selling raffles online, via mobiles, at ATMs, gas pumps or video slots.

According to the National Conference of State Legislatures, some of the states proceed to expand raffle business. The president of the North American Lottery association Terry Rich is among the supporters of this intention. Last year, the Democratic Gov. Mark Dayton vetoed the bill prohibiting selling tickets online, but this question arose again this year. Republican Rep. Greg Davids is strongly against this, as he concerns that raffle will have a negative impact on a new generation.

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