I've written about how much I hate the lottery before.
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Some games are way more of a ripoff than others — even by casino standards.
But it's a subject I never get tired of talking about to anyone who's willing to listen.
The main reason I hate the lottery is because it's an example of the worst behavior from our government. Compare the lottery to the alcohol industry. Most people agree that adults should beallowed to drink alcohol if they want to.
But most people don't think it's an appropriate role for the government to be running liquor stores or bars.
I think most people agree that Americans should be legally allowed to gamble with their money if they want to. If you're not hurting anyone else, you should be allowed to do whatever you want.
But why do we think it's okay for the government to be involved in the operation of a gambling business?
Even in states where casino gambling is illegal (like Texas), the lottery is a thriving enterprise.
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- You get the point: Apparently, we are to believe that millennials hate gambling so much that they are better at it than everybody else. Rising house advantage, declining gambling value.
Lottery proponents sell this activity to the public as a means of raising money for education.
Here's the problem:
The money raised from a state lottery isn't earmarked specifically for any purpose. It just goes into the coffers. The budget is what determines where the money is spent.
And it's been demonstrated repeatedly that education budgets don't increase in states with state-run lotteries.
Where does the money go, then?
Corporate subsidies.
States give companies tax cuts in order to stimulate economic growth.
Here's my biggest problem with the lottery, though:
It's a lousy game.
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It's over in an instant.
And the payback percentage is only 50%.
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The worst slot machine in the worst casino in Las Vegas offers a better payback percentage than that.
What does that mean?
If you bought a million dollars' worth of lottery tickets and cashed them all in, you'd lose $500,000.
And who's buying these lottery tickets?
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The poor overwhelmingly outnumber the rich in terms of who plays the lottery.
Do we really want to create a tax on people who are poor and unfamiliar with math and probability?
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And if the answer is yes, do we want that money to go toward corporate subsidies.
Best way to win roulette machine. The fat cats would say yes, because, let's face it—if you spent that money on education, you'd eventually wind up with a customer base that's so well-educated they would never play the lottery.
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