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Flashcards in Socioeconomic Impacts Deck (21):
1

What is the current global gambling revenue?

Almost 450 billion dollars.

2

What are the largest contributors to global gambling revenue? (types of gambling)

Lotteries-->Casinos-->Gaming Machines-->betting-->US Indian Gaming-->other

3

What is the current trend for net revenue from gambling in Canada recently?

Net revenue from government-run gambling has leveled off recently

4

What are the 3 largest individual gambling markets?

- Macau
- Las Vegas
- Singapore

5

who are the 3 largest contributers to global gambling revenue?

1 - US (50%)
2 - Asia Pacific (30%)
3 - EMEA

6

what is the problem with most prior research on socioeconomic gambling impacts?

its either inconsistent, inadequate, biased, or all three

7

Why does gambling research end up corrupted?

funders for this type of research often have a vested interest in a certain outcome.

8

Where should socioeconomic research funding come from?

- independent agencies without a vested interest in the outcome

9

What are some economic indices to gambling?

- government revenue
- public services
- regulatory costs
- infrastructure value
- infrastructure costs
- business starts and failures
- business revenue
- personal income
- property values

10

What are some social indices linked to gambling?

- problem gambling
- crime
- employment
- socioeconomic inequality
- leisure activity
- public attitudes
- quality of life
- social capital
- values

11

What metric is best used to capture economic changes from gambling? what metric is best for social changes?

- MONEY for ECONOMIC
- %CHANGES in divorce, crime, suicide, etc. for SOCIAL

12

What is the problem with traditional cost-benefit analysis for gambling? or anything for that matter?

- It is difficult to apply $$$ to Social Changes.
- requires everything to be a cost or benefit, some things are just changes

13

what is the best method for measuring socioeconomic changes from gambling?

- a profile of impacts with several different indices
- this approach makes the overall impact depend on the relative importance of each index

14

What 3 ways can gambling represent a true economic benefit to an economy?

- influx of money/assets from outside jurisdiction
- increases value of existing assets
- increases utilization of existing capital

15

What is the problem with pre-post studies on gambling? how do we avoid this?

- they ignore the multitude of economic and social forces at work that are not because of gambling
- use a economically, socially, and demographically similar community as a control that did not receive a new gambling venue.

16

What are some reliable economic impacts from the introduction of new gambling?

- increase in government revenue
- increase in public services
- increase in regulatory costs (usually much less than the revenue that government gains from gambling)
- construction of new gambling venues reliably adds to physical assets and wealth of a community
- increase in infrastructure costs * usually offset by revenue and increased infrastructure value
- increase in business revenue, new starts, and employment * local patronage has negative impacts on a wide range of other businesses

17

What are some reliable social impacts from increased gambling?

- increase in PG for the first few years
- decrease in illegal gambling
- no real impact on crime
- lower income people consistently spend proportionally more of their income on gambling.
- offers entertainment value and additional leisure option to general populace
- positive impacts for North American Aboriginal communities with successful casinos.

18

What are government and business leaders attitudes towards gambling generally like? What about the general populace?

- government and business leaders have positive attitudes about gambling impacts
- general populace tends to have negative opinions about gambling impacts
* males, young people, and heavy gamblers have more positive opinions

19

What are 9 variables that mediate gambling impacts?

- size of change in gambling availablity
- type of gambling introduced
- length of time gambling has already been available
- local vs out-of-region patrons
- strength of policies in place to mitigate negative effects
- baseline levels of community impoverishment
- length of time impacts are examined
- how gambling revenue is distributed

20

What is the impact of gambling on any given jurisdiction?

- ranges from small to large
- depends on jurisdiction
- for the most part, MIXED
***- positive economic impacts offset by a range of mild to moderate negative social impacts.

21

SOCIOECONOMIC IMPACTS OF GAMBLING
 Socioeconomic research funding needs to come from independent agencies without a vested interest in the outcome.
 A wide net must be cast to capture and report all potential economic and social variables that may be impacted.
 Need to use a metric that best captures the impact. Money is most appropriate for most economic changes, as well as social changes with clear monetary costs (e.g., police time, treatment cost)
 However, other social impacts will be best captured and described in more straightforward ways (e.g., % change in divorces, suicides, crime, etc.).
 Monetary changes with clear ‘costs’ and ‘gains’ can be combined into an aggregate measure (classical CBA). Other changes (e.g., % increase in crime; % increase in suicides) are best reported as they are and NOT combined.
 End result is a PROFILE OF IMPACTS with several different indices

 Socioeconomic analyses should examine the geographic ‘magnitude’ of the impact and to estimate both community-specific costs/benefits, and macro, regional impacts. Patronage origin provides some guidance about how large a geographic range to study.
 Need to document prior gambling opportunities and socioeconomic effects for several years before the opening of the new gambling venue as well as for several years after.
 Use both pre-post and control community comparisons.
 The best impact studies are ones that over sample subpopulations most at risk for being impacted so that these subpopulation impacts can also be examined.
 Need to qualify results as being specific to the type of gambling
 Results need to be qualified as being specific to the jurisdiction studied.
 Results need to be qualified as being specific to the time period studied.
 Results need to speak both to changes from baseline and changes relative to what the current situation would likely be without gambling.