Posts tagged with: gambling

7figuresAt The Atlantic, Derek Thompson provides some depressing numbers related to lotteries in America. Here are seven figures you should know from his article:

1. Americans spend more on lottery tickets than on sports tickets, books, video games, movie tickets, and recorded music sales combined — $70 billion on lotto games in 2014.

2. In five states, people spend more than $600 dollars per person per year on lottery tickets.

3. The poorest third of households buy half of all lotto tickets.

4. Winners of more than $600 are subject to 45 percent windfall taxes on their winnings.

5. Out of the 20 counties in North Carolina with poverty rates higher than 20 percent, 18 had lottery sales topping the statewide average of $200 per adult.

6. As recently as 1980, just 14 states held lotteries. Today it’s 43.

7. As recently as 2009, lotteries provided more revenue than state corporate-income taxes in 11 of the 43 states where they were legal.

Sid Meir's CivilizationMy wife despises Sid Meier. She’s never met him, nor would she even recognize his name. But she knows someone is responsible for creating the source of my addiction.

For over twenty years I’ve spent (or wasted, as my wife would say) countless hours playing Civilization, Meier’s award-winning strategy game. Every time I play the game I enter an almost trance-like state of complete immersion. According to positive psychologist Mihály Csíkszentmihályi, what I’m experiencing in that moment is known as “flow.” Csíkszentmihályi describes the mental state of flow as,

being completely involved in an activity for its own sake. The ego falls away. Time flies. Every action, movement, and thought follows inevitably from the previous one, like playing jazz. Your whole being is involved, and you’re using your skills to the utmost.

According to Csíkszentmihályi, there are ten factors that accompany the experience of flow:

In a prime example of how irony is lost on politicians, lawmakers in North Carolina are proposing to prohibit people receiving welfare from playing in the lottery.

lotteryPerhaps the legislators aren’t aware of what state lotteries are, in effect if not intent, designed to do: redistribute the income of mostly poor Americans to a handful of other citizens—and to the state’s coffers.

Nevertheless, the lawmaker’s moral intuitions seem to be leading them to good intentions. As Rep. Paul Stam says, “We’re giving them welfare to help them live, and yet by selling them a ticket, we’re taking away their money that is there to provide them the barest of necessities.”

Okay, so maybe the irony isn’t lost on every politician.

You might be wondering how they could actually implement such a ban since it’s not obvious who is on welfare. According the Christian Post, at present the proposals seek to ban lottery ticket merchants if they “knowingly” sell a lottery ticket to someone on welfare. So the lawmakers are hoping that cashiers and sellers would be able to recognize locals who use food stamps, and therefore should refuse to sell lottery tickets to those people.

In other words the government wants to punish business owners for helping facilitate government sponsored gambling to people on the government dole.

I have a better idea—not a good idea, mind you, just a better idea that the punish-the-innocent approach that the government wants to take.

Blog author: jcarter
Thursday, November 29, 2012

When it comes to government programs for redistributing income, nothing is quite as malevolently effective as state lotteries. Every year state lotteries redistribute the income of mostly poor Americans (who spend between 4-9% of their income on lottery tickets) to a handful of other citizens—and to the state’s coffers.

A prime example is yesterday’s Powerball jackpot. Two people became instant multimillionaires from a voluntary transfer of wealth from their fellow citizens. The money came from the 563 million tickets that were sold, as the old adage says, to those who are bad at math.

The odds of winning were 1 in 175 million, which means that if every person in America had bought a ticket, only two would have won. The chances of a single ticket holder winning the Powerball were only slightly higher than meeting a random stranger on the street who hands you a million dollars.

Yet despite the harm it does to our financially vulnerable neighbors, Christians—who are called to seek justice for the poor—often participate and encourage this activity. Even more disconcerting is that the state not only allows, but participates, in this exploitation. Jordan Ballor explains how lotteries allow the state to prey on the poor:

Blog author: kschmiesing
Tuesday, September 15, 2009

Just about every state has dealt with the issue over the last few years, it seems. But here in Ohio, the legal status of gambling is the issue that won’t go away. It’s on the ballot again in November, this time as a constitutional amendment to permit casinos in four cities.

The issue is something of a dilemma for Christians with limited-government inclinations. In general we don’t want prohibitions on legitimate business activity or entertainment, and most Christians don’t consider games of chance to be inherently immoral. Yet the societal repercussions of Big Gaming don’t appear very attractive from any angle. For one, as Acton’s Jordan Ballor pointed out in his treatment of the subject a few years back, revenue from lotteries and other gambling represents an all-too-easy source of funds for expansive state governments. Even more serious, as a recent analysis by Fr. John Flynn on Zenit underlines, gambling often amounts to a regressive tax on the poor, who tend to throw away a much higher proportion of their incomes in this fashion than do the better off.

In any case, it appears that widespread legalized gambling is here to stay. So what now? Fr. Flynn has one important answer: a return to the classic virtue of temperance, “the moral virtue that moderates the attraction of pleasures and provides balance in the use of created goods.” (It was given sort of a bad name in the US in the early twentieth century when the “temperance movement” became the “Prohibition movement” and enacted the ill-fated 18th amendment, but there’s nothing puritanical about temperance.)

I’ve noted in other contexts the importance of temperance: for example, the implications to health care of moderation in food, drink, physical activity, etc. Its relevance for gambling is self-evident. And of course there’s consumerism, the mortgage crisis, and financial speculation. So, pastors, writers, teachers: we’re long overdue for some sermons, commentaries, and lessons on the contemporary indispensability of that ancient virtue, temperance.

The fourth week of the CRC’s Sea to Sea bike tour has been completed. The fourth leg of the journey took the bikers from Salt Lake City to Denver, a total distance of 478 miles.

The “Shifting Gears” devotional at the beginning of this week focuses especially on the relationship of the church to culture. On day 22, the devotion notes that the “crucial pillars of civilization–education, family, government, and science–are in a state of decline and disrepair.” This may seem like a strange claim given all that humans have been able to accomplish over the last century or so. But if you look at the moral center of all these pursuits (for no human endeavor is “value” free), then the claim begins to make some sense.

Take, for example, the prayer from day 22, which focuses on gambling and the state of Utah’s position, which “forbids gambling and casinos.” Dietrich Bonhoeffer once reflected on a symptom of the lifelessness of modern society when he wrote,

One gambles with the future. Lotteries and gambling, which consume an inconceivable amount of money and often the daily bread of the worker, seek the improbable chance of luck in the future. The loss of past and future leaves life vacillating between the most brutish enjoyment of the moment and adventurous risk taking.

Similarly, the day 22 devotion observes “that today’s culture, including the church, has sunk into a passionless routine.”

And in the same way, the day 23 devotion examines the ambivalent relationship between church and culture, although it ends on a rather optimistic note: “A hundred years ago biking was a Sabbath sin. Now our whole troupe bikes to church Sunday mornings. We, like the land, are being redeemed.” Even so, a consistent theme of critique towards destructive aspects of modern life is present throughout these devotions. As the day 13 devotion concludes, “Constant busyness is not godliness.”

The overall focus of the bike tour is poverty. To get involved in charities that effectively integrate faith and compassion, visit the Acton Institute’s Samaritan Guide. Be sure to check out the charities working in Colorado. Denver, the destination at the end of week 4, is home to two previous Samaritan Award honorees, “Providence Homes” (2004) and “Joshua Station” (2007).

The National Center for Policy Analysis (NCPA) has published a paper titled, “Taxing the Poor: A Report on Tobacco, Alcohol, Gambling, and Other Taxes and Fees That Disproportionately Burden Lower-Income Families” (PDF).

The paper highlights state lotteries as particularly regressive taxes: “The dollar amount spent on the lottery by the lowest-income individuals (earning less than $10,000 annually) is twice as much as the highest earners (earning more than $100,000 annually).” I wrote a piece reacting to a poll with a similar finding awhile back.

The NCPA study also points out that “lotteries have worse odds than other forms of gambling; in fact, states retain some 33 cents of each dollar of lottery revenue — whereas privately owned casinos keep just 4.4 percent of the take.” And of course that casino take depends on the type of game played. Keno has the worst odds, with roughly 1/4 of the take going to the house, while games like roulette, slots, or blackjack have less than 5% house takes.

The paper also studies other popular sin taxes, like tobacco and alcohol, and one of the newest potential additions to the sin tax category: gasoline.