Lottery is a game in which numbers are drawn for the chance to win a prize. It has a long history in many cultures and is today practiced by more than 37 states and the District of Columbia. It is a major source of revenue for state governments. While a large number of people play the lottery, very few of them actually win a prize. In fact, most of the money that lottery players hand to retailers simply gets added to the grand prize totals and never makes its way to the winners’ accounts. But why do people continue to play the lottery if they know they have very little chance of winning?
The casting of lots to make decisions and determine fates has a very long record in human history, as indicated by many instances in the Bible. But the use of lotteries to raise money for public purposes is far more recent and began in the Low Countries in the 15th century. Public lotteries were used in towns to raise money for town fortifications and to provide assistance to the poor.
After New Hampshire introduced the first modern state lottery in 1964, most other states followed suit in a short time. Lottery advocates promoted the idea that it could provide a substantial source of state revenues without the need for high taxes. They also argued that the lottery would not increase inflation or lead to a decline in social safety net services.
While state officials embraced the idea of the lottery, the general public did not. As lotteries gained popularity, the public debated whether they were appropriate or not and how the proceeds should be spent. The debate was framed by the traditional divisions between liberals and conservatives, but also included concerns about gambling addiction and poverty.
A prevailing view was that the lottery should be kept simple, requiring only a modest percentage of each ticket sold to be placed as stakes. This approach allowed states to avoid the appearance of a hidden tax, and Alexander Hamilton wrote that “everybody will be willing to hazard a trifling sum for a considerable gain.”
While a majority of Americans play the lottery, only about half of them do so regularly. And the most frequent buyers of tickets are disproportionately lower-income, less educated, and nonwhite. These players are also disproportionately less likely to have jobs and to have children.
Lottery advertising is largely geared toward persuading these groups to spend their limited discretionary income on a tiny chance of winning a substantial sum. But does promoting the lottery serve the larger public interest? Should government agencies be engaged in the business of encouraging gambling?
