Public Welfare Issues and the Lottery

Lottery is a game in which players pay a small sum of money, choose a group of numbers or have machines randomly spit them out, and win prizes if they match enough of the drawn numbers. Its use dates back to ancient times, when the Old Testament instructed Moses to count Israel’s people and divide land by lot. Later, Roman emperors used it to give away slaves and property. Today’s state-run lotteries are popular and widespread.

In almost all states, the lottery industry has a highly fragmented structure with little or no overall policy oversight. The result is that public welfare issues are not given the attention they deserve. Rather, the evolution of state lotteries is driven by specific constituencies. These include convenience store operators (who benefit from lotteries); suppliers of instant tickets and other items (heavy contributions to state political campaigns are often reported); teachers, in states where revenues are earmarked for education; and state legislators (who are accustomed to the extra revenue).

Although the casting of lots to make decisions or determine fates has a long record—there are several instances in the Bible—the lottery’s use for material gain is relatively recent. The first lottery to distribute prize money was held in 1466, in Bruges, Belgium, for municipal repairs in the city. Since that time, it has spread to most countries. Lotteries generate substantial income for governments, but they also have significant costs to society. The evidence suggests that the lottery may have a negative impact on crime rates, and some studies suggest it is associated with other forms of gambling.

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