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Video Lottery and Treatment for Pathological Gambling: A Natural Experiment in South Dakota

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This paper explores the fact that when video lottery machines were turned off in South Dakota, the inquiries about gambling and the number of individuals receiving treatment for problem gambling diminished abruptly. When the machines were turned back on, there was a prompt increase in both of these categories.

These changes occurred despite the fact that alternative forms of legal gambling were available (i.e., scratch tickets, Indian Reservation casino gambling, and multi-state lotteries). This suggests that video lottery gambling machines presents a unique risk for the development of problems severe enough to prompt treatment. These data suggest little substitution of other forms of gambling occurred when video lottery gambling was not available.

Video Lottery and Treatment for Pathological Gambling – A Natural Experiment in South Dakota

CkirbyVideo Lottery and Treatment for Pathological Gambling: A Natural Experiment in South Dakota
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Sports gambling apps target users as young as 13 years old

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This MarketWatch article outlines the move by app developers to tap into the large and growing U.S. sports gambling market by developing ‘freemium’ models for users as young as 13 years old. These models include no purchase required apps where users must view advertising to enter pools and free virtual currency based apps.

2016 Sports gambling apps target users as young as 13

LesSports gambling apps target users as young as 13 years old
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Study shows citizens reduce their spending on key household items when they play the lottery

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This paper by Univ. of Maryland Professor Economics Melissa Kearney reveals that household lottery spending is financed primarily by a reduction in non-gambling expenditures, not by a reduction in expenditures on other forms of gambling. The introduction of a state lottery is associated with an average decline of $46 per month, or 2.4 percent, in household non-gambling expenditures. Low-income households reduce non-gambling household expenditures by 2.5 percent on average, 3.1 percent when the state lottery includes instant games.

State Lotteries and Consumer Behavior

LesStudy shows citizens reduce their spending on key household items when they play the lottery
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Predatory Gambling Has More of a History of Corruption Than Any Other Business

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In the wake of the October 2010 indictments of four State Senators, Gary Palmer of the Alabama Policy Institute wrote about the historical connection between the legalization of gambling and government corruption. He quotes former U.S. Senator Paul Simon of Illinois who declared predatory gambling “…has more of a history of corruption than any other industry.”

Alabama Policy Institute – Elections or Indictments

CkirbyPredatory Gambling Has More of a History of Corruption Than Any Other Business
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Hundreds of millions in casino dollars haven’t lifted Oregon’s Native Americans out of poverty

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This news story from Willamette Week explores how hundreds of millions in casino dollars haven’t lifted Oregon’s Native Americans out of poverty.

The Longest Odds

CkirbyHundreds of millions in casino dollars haven’t lifted Oregon’s Native Americans out of poverty
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Having Multiple Versions of the Same Slot Machine Game May Impact Problem Gambling

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In this paper, Harrigan and Dixon examine how the same slot machine games with different payback percentages may affect the player’s behavior. Interestingly, slot machines with higher payback percentages (offering a perceived air of fairness for the player: 98% vs. a lower payback of 85%), were more likely to impose the most risk for ensuing gambling problems. In their findings, they argue for the regulations of lower payback percentages (85%), as the higher ones appear to be far more addictive.

Government Sanctioned ‘‘Tight’’ and ‘‘Loose’’ Slot Machines- How Having Multiple Versions of the Same Slot Machine Game May Impact Problem Gambling

LesHaving Multiple Versions of the Same Slot Machine Game May Impact Problem Gambling
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One-Fifth of Parents Reported Buying a Lottery Ticket for Their Children

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This study by the International Centre for Youth Gambling Problems at McGill University finds “approximately one-fifth of parents reported buying a lottery ticket for their children” in Canada.

Your Mother Should Know – McGill University Study

CkirbyOne-Fifth of Parents Reported Buying a Lottery Ticket for Their Children
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