Economic Impact of Gambling
Gambling involves placing something of value on an event that is determined at least in part by chance and with the hope of winning something else of value. The Bible calls this idolatry (Colossians 3:5). It directly appeals to the desires of covetousness and greed, which violate the 1st, 2nd, and 10th commandments. It is also contrary to the biblical teaching of contentment and stewardship.
Many people gamble as a way to relieve unpleasant feelings such as loneliness, boredom, anxiety or stress. However, this type of gambling can backfire by causing more stress and even leading to financial ruin. When the negative effects outweigh the entertainment value, problem gambling can become a serious addiction. The Bible teaches us to be content in all things, and to seek God’s glory first and not our own (Matthew 6:31).
While there are benefits of gambling, most people do not realize them or do not believe it. Socializing with friends, learning new skills, and being able to study patterns are just some of the benefits of gambling. However, most of these benefits only occur when gambling is done in moderation. Gambling can cause a variety of problems when it becomes compulsive, such as family disharmony and debt. In addition, it can lead to other unhealthy behaviors like alcohol and drug use.
Several studies have been conducted to examine the economic impact of gambling. These studies are usually categorized as gross impact studies, economic impact studies, or descriptive studies. Gross impact studies are those that attempt to measure only the monetary impacts of gambling, such as casino revenues and expenditures, number of jobs created, taxes paid, and so on. These types of studies generally ignore the identification of indirect and intangible costs, as well as substitution effects.
Another category of gambling-related economic impact studies are those that attempt to identify measurable economic benefits and costs, such as the effect on tourism. This type of study may include a detailed examination of a specific casino’s effects on its local economy and the community. Indirect and intangible costs and benefits are also omitted from this type of study.
Finally, descriptive studies are those that provide little more than a description of gambling-related economic benefits and costs. These types of studies usually do not attempt to quantify economic effects or distinguish between tangible and intangible effects. Anecdotal evidence from published news accounts and bankruptcy court opinions are typically used to support these types of studies.