Lottery is big business, raising billions in government revenues each year. Its players contribute to state coffers they could otherwise be saving for retirement or college tuition. But what exactly are they getting in return? And what about the odds of winning?
We recently interviewed a group of lottery players—people who play the game regularly, often spending $50 or $100 per week. They’re not the irrational types you might expect, and they’re definitely not idiots. They understand the odds, they know that they’re irrational, and they play anyway. They have quote-unquote systems—things like lucky numbers and lucky stores and times of day to buy tickets—and they know that the odds are long. But they do it anyway, because they’re committed gamblers.
The practice of allocating property or other prizes by chance has a long history, including many biblical references and the practice of giving away slaves during Saturnalian feasts in ancient Rome. Modern lottery arrangements include commercial promotions in which people can win money or goods by a random procedure, military conscription, and the selection of jury members.
In recent decades, however, the most common argument used to promote state lotteries has been that they raise money for a specific public good, such as education. This is a compelling message, especially in periods of economic stress. But it’s misleading. It overlooks the fact that, regardless of a state’s financial health, lotteries have won broad support. In other words, voters want states to spend more, and politicians are looking for ways to do so for free.