Gambling is one of those topics that divides people, like Marmite. Some think it should be illegal, while others believe that it is a great way to boost the economy and provide people with a social outlet. This article will explore what gambling is, how it works, the risks involved, and why it is a popular pastime around the world.
Unlike many other business ventures, the economic development benefits of gambling are difficult to quantify. Numerous factors influence whether gambling is beneficial or harmful, including the Miles’ law of politics: those who stand to gain economically from the activity will support it; those who stand to lose will oppose it. Miles’ law is particularly strong with elected government leaders who see casino development as a means of solidifying a city’s economic base; bureaucrats in agencies that are promised gaming revenue will support the activity to pay for agency activities; and owners of large casinos will support it if they believe they can make more money than competing operations.
The health and psychological effects of gambling are also hard to quantify. Several different approaches to measuring gambling’s impact have been used. Some studies use a cost of illness approach, which assigns monetary value to intangible harms (e.g., loss of family income or increased medical expenses), but this ignores the positive impacts. Other studies employ a quality-of-life weight, which estimates the number of months in a year that a person is impaired by a problem.