Positive
Gaming is an industry created by legal gambling activities and includes lotteries, poker, slot machines, horse racing and other table games. According to Baird, Yepez, and Fairey (2011), supporters of gaming argue that it has psychological benefits. It gives people the opportunity to exercise control and it is also a way to relieve stress. Supporters claim that gaming is just like any other form of entertainment such as watching a movie.
According to an article by the American gaming Association (2014), gaming has created employment opportunities and generated huge returns as tax revenue for the government. In 2002, 350,000 jobs in the United States had been provided by the commercial casino industry. The government also received 4 billion dollars in tax revenue that helps in the improvement of infrastructure, health care, education, housing and other programs. Gaming has become more than an entertainment way to pass the time, but it is now positively impacting the economy.
Research has shown that gaming has reduced the level of unemployment in the communities where it has become legalized. In addition, it has led to the growth of local tourism industries. The unemployment rates in the communities close to the casinos are said to have lowered by 12 to 17 percent. Entertainment venues such as hotels, restaurants, shopping malls have opened near successful casinos. Such development has resulted in a positive impact to the economy (Baird et al., 2011). Such positive impacts have resulted to the legalization of gambling in more states as supporters argue that the positive impacts of gaming to the society are more than the negative ones. However, some people still argue that although the benefits are undeniable they still do not outweigh the problems that are as a result of gaming.
Negative
According to an article by Frontline (2014), states that have legalized gambling have witnessed a decline in the quality emanating from the pathological gambler problem. Gaming activities, unlike other business activities, cater to a market made up of addicted or potentially addicted consumers. Research has shown that each pathological gambler costs the society around 13,200 to 52,000 dollars per year. The gambler costs do not only get reflected in the society but all businesses. Small businesses tend to suffer more since large business have assets that cushion such impacts. The increase in socioeconomic costs as a result of more pathological gamblers gets absorbed by taxpayers, businesses, and other government units.
The drains caused by socioeconomic costs on the society may result to loss of jobs at a regional or state level. Business owners should become concerned about the legalizing of gambling activities. Nongambling related businesses do not compete “consumer dollars” since the gaming activities serve the addicted percentage of the market. The socioeconomic negative impacts to a society can persist for a long period unknown to people but eventually they emerge and become realized (Smaliorius, 2012).
Gaming activities also have an impact on education both fiscally and philosophically. According to Frontline (2014), the making of a living by gambling may result to people not seeing the need for education. It may lead to activities that are not productive to the economy since it is impossible always to win. The use of sophisticated techniques always ensures that the “house” wins more than the players. Also, the negative impacts of gambling on the economy may result in the reduced amount of money to improve the education program. As discussed, the negative economic impact is absorbed by everyone in the society.
References
American Gaming Association (AGA). (2014). What are the Economic Impacts of the Casino Gaming Industry? Retrieved from http://www.americangaming.org/industry-resources/faq/what-are-economic-impacts-casino-gaming-industry
Baird, H., Yepez, M., & Fairey, E. (2011). Is Gambling Harmful to Our Society? Daniels Fund Ethics Initiative. Retrieved from http://danielsethics.mgt.unm.edu/pdf/Gambling%20DI.pdf
Frontline. (2014). Gambling Facts & Stats. Retrieved from http://www.pbs.org/wgbh/pages/frontline/shows/gamble/procon/kindt.html
Smaliorius, T. (2012, April 16). Casinos: An Unethical, but Just Way of Benefiting the Society. Retrieved from https://bizgovsociii.wordpress.com/2012/04/16/casinos-an-unethical-but-just-way-of-benefiting-the-society/
