STATE LOTTERIES

State Lotteries

State Lotteries

Introduction

State lotteries are undoubtedly big business and public policy very relevant and important. In United States, thirty-seven states and District of Columbia have lotteries worldwide; the hundred countries have legalized lotteries. Lotteries, like any public policy must be examined carefully. To what extent do citizens benefit? Who gets benefits and what are costs and policy intentions? How is policy implemented? main problems with lotteries as public policy are: clearly regressive nature as the source of income, earnings trend not to become boon promised to issue attached, surprising fact that state governments are not required to comply with Federal Trade Commission's "truth in advertising "rules and manipulate this exemption to skillfully deceive public about realities of an accident, and philosophical dilemmas posed by inevitable state governments sponsor and promote the widespread and destructive vice like gambling addiction.

Literature Review

Lotteries are the regressive source of revenue for state governments takes the greater percentage of income of low-income people with high incomes. Michael Heberling, president of Baker College Center for Graduate Studies in Flint, Michigan, says, "All studies of lottery has shown that burden falls disproportionately on poor and most of benefits go to those who are good. " people who most strongly play lottery are poor, elderly, people with less education, and minorities. Individuals with annual incomes under $ 10,000 spend more of their income on lotteries than any other income group. According to Joseph McCrary, the researcher at Baltimore City Public School System, and E. EstebanCondrey, Senior Fellow and Director of Carl Vinson Institute of Government, University of Georgia, "African Americans are more likely to participate in lottery more frequently and to reside in areas where per capita lottery sales are highest.”Their research also shows that older persons sixty-five spend an average of $ 475 per year on lotteries, while their younger counterparts between ages of eighteen and twenty-spend an average $ 152 the year. People with less education are more likely to play lottery. According to National Coalition Against Legalized gambling, high school dropouts spend twice as much [lottery] as college graduates. "

Lottery proponents point out that lotteries are the form of voluntary taxation - no one is forced to buy the lottery ticket, as opposed to alternative income and obligatory or sales tax. However, misleading advertising and promotional campaigns, social and racial apparently specific, serious doubts about voluntary nature of lotteries. Citizens can ultimately make the voluntary choice ...