Gambling is the
betting of money on an outcome that is wholly or largely random. It includes
things like bingo, roulette, raffles, lotteries, scratch-cards and slot
machines. Some definitions of gambling would not include activities like
betting on horse racing – as this arguably involves a large element of
knowledge and skill to predict what is likely to happen. Card games are a grey
area. Some card games, such as poker, have a considerable element of skill. It
is therefore arguable that they should not be considered gambling. Other card
games are largely a matter of luck. The precise legal definition of gambling
varies from country to country.
Most countries
regulate gambling but there are still a few who do not, such as Costa Rica, who
do not regulate the offshore licenses for gambling that they provide. For states such as the UK and Gibraltar who
do regulate gambling, it is often necessary to have a license to run a lottery
or a casino. There is also usually a minimum age for gambling. Gambling is
illegal in some jurisdictions, including several states of the USA, most
regions of Russia and many Islamic countries. In contrast, some governments try
to use gambling as a force for good. Many states run lotteries – the profits
are used to pay for public services. Charities and nonprofit organizations
often hold bingo nights or lotteries to fund-raise. In the USA Native American
nations control their own affairs and often profit by being able to run casinos
on reservations, attracting gamblers from surrounding states where gambling is
banned.
The rise of online gambling on the internet since the 1990s has made
government control much harder. In some countries like the USA, online gambling
is against the law. But in many states online gambling is now legal. And
companies can set up in any country where online gambling is allowed, and offer
a service to internet users all over the world. Many people who never bet on a
race or visited a casino now gamble online. All of this new activity worries
campaigners against gambling, as well as governments who feel that their
control is being lost.
Pros
|
Cons
|
Gambling is addictive and psychologically harmful. Gambling can become a psychologically addictive
behavior in some people. According to the Emotional Neuroscience Centre in
Massachusetts, “Monetary reward in a gambling-like experiment produces brain
activation very similar to that observed in a cocaine addict receiving an
infusion of cocaine.” Because of this addictive nature, many people end up
gambling to try to recover money they have already lost. This is known as
‘chasing losses’. It results in people staking more and more money, most of
which they will lose, and sinking deeper and deeper into debt. People start
to gamble without thinking that they will become addicted. Once that happens,
it is often too late. A gambling addiction, in addition to the long term
effects it has, can result in financial ruin in a few short hours.
|
Unlike drugs, gambling is not physically or
metabolically addictive. Most gamblers are not addicts, simply ordinary
people who enjoy the excitement of a bet on a sporting event or card game.
Only a small percentage of gamblers have an addiction. Many more get
enjoyment from gambling without problems. The risks of gambling addiction are
well known. People can make a conscious choice to start gambling, and are
aware of the risks of addiction.
|
Gambling leads to the disintegration of families. Gambling can have a devastating effect on families.
The most obvious effect is financial as one partner uses all their money on
gambling the other needs to support the whole family or the gambler may even
gamble away joint savings. Psychologically there is a relationship between
gambling and various psychiatric and alcohol disorders. This is also an
impact on friends, who do not want to be tied into supporting gambling
financially or even just emotionally. Lesieur and Custer estimated that for
each problem gambler there were 10-15 other people adversely impacted by the
gambling of that person. As with drugs, it is harmful to the individual
concerned and their family and friends, and it is better to ban gambling to
stop people getting started in the first place.
|
Treatment programs can address the problems of those
who are addicted, and many casinos offer “Self-Exclusion Programs”, where
individuals can effectively “ban” themselves from casinos. This could be the
initiative of either the gambler or their family or friends.
|
Online gambling has increased the incidence of gambling
addiction. Someone can become addicted
very easily – they don’t even need to leave their home, and online gambling
sites are available at all hours. This also means that they are gambling in
private. They may therefore be less reluctant to wager very large sums they
cannot afford. In the United States in 1999 the National Gambling Impact
Study stated "the high-speed instant gratification of Internet games and
the high level of privacy they offer may exacerbate problem and pathological
gambling", and it is estimated that 75% of internet gamblers are problem
gamblers, compared with 20% of those who visit casinos.
It is very hard to know the identity of an online
gambler – there have been several cases of people (including children) using
stolen credit cards to gamble online.
Online gambling sites can also get around government
regulations that limit the dangers of betting. Because they can be legally
sited anywhere in the world, they can pick countries with no rules to protect
customers.
|
Internet gambling is in fact less dangerous than normal
gambling. It is free from the pressures to gamble that casinos can create
through free food and entertainment, glitzy surroundings and peer pressure.
And as children can’t get credit cards, they should not be able to gamble
online anyway. Stolen credit cards can be used to commit fraud in any number
of ways - online gambling is not a specific problem here. It is also in the
interest of internet gambling sites to run a trustworthy, responsible
business. Whatever they are looking for online, internet users choose trusted
brands that have been around for a while. If a gambling site acts badly, for example
by changing its odds unfairly, word will soon get around and no one will want
to use it.
|
Casinos are often used to mask criminal activity. Casinos are often associated with crime, particularly
organized crime. When it comes to local crimes a study has found that only
larceny(theft) liquor violations increased significantly with a small
increase in prostitution. But comparing statistics probably does not show the
real harm; drug dealers and prostitutes operate near casinos – they know that
there are a large number of potential clients in the area. Moreover when a
gambler is in debt and wishes to continue gambling due to its addictive
nature, he or she often turns to loan sharks as no bank would lend to them.
Casinos can therefore be devastating to neighborhoods. It would of course be
wrong to assume all gamblers are criminals, although there is an increased
possibility that gamblers in debt could turn to criminality through illegal
borrowing. These loan sharks themselves usually have links to organized crime,
in some cases are actually run by organized crime, and use brutal methods to
reclaim their money. By banning gambling the opportunities for loan sharks to
offer their services is greatly reduced due to a lesser amount of gamblers in
debt, as are the opportunities for prostitutes therefore reducing criminal
activity in the areas surrounding casinos.
|
People committing crimes should be prosecuted. The
existence of criminals does not make nearby businesses (including casinos)
immoral. It is perverse to punish people who just want to gamble (and not
take drugs or use prostitutes) by taking away their chance to do so.
|
Gambling affects poor people disproportionately. Poor people are more likely to gamble, in the hope of
getting rich. In 1999, the National Gambling Impact Commission in the United
States found that 80 percent of gambling revenue came from lower-income
households1. It is immoral for the state or charities to raise money by
exploiting people’s stupidity and greed. Taxing gambling is a regressive tax
(this means that the poor pay a greater proportion of their income in tax
than the rich), and regressive taxation is deeply unfair. Gambling attracts
people with little money who are desperate for a windfall. These are the
people who can least afford to lose money.
|
Gambling effects every person in the same way, everyone
have the free will to decide to gamble and each may win or lose despite of
their wealth or position in society, thus gambling cannot affect poor people
to a greater extent. Gambling is only regressive because more poor people
choose to gamble.
Gambling does also have good effects on all member of
society- Gambling is often used to raise money for the state or good causes.
Many governments tax gambling. Some even run their own lotteries. Charities
use prize draws to raise funds. Because people will gamble anyway, the best
that governments can do is to pass rules to make it safe and try to get some
social good out of it. If the government uses the revenue to help people on
lower-incomes, it is not necessarily true that taxes on gambling are
regressive and target the poor.
|
Gambling is associated with other forms of addiction
and harmful behaviour. Gambling makes
people concentrate of winning money. Religious leaders of all denominations see
gambling as eroding family values because it implies that material goods
should be valued above other things like friendships and families. It also
sends out the message that success should not necessarily be the result of
merit and effort. As a philosophy, ‘gambling culture’ is incredibly
dangerous. Those in society who most need to self-improve, never do. Instead,
they tie their hopes and dreams to the lottery. There may be the possibility of winning a
big prize, but the overwhelming likelihood is that a gambler will lose money.
Instead, governments should be promoting values like thrift, hard work and
self-reliance rather than encouraging or even allowing gambling to promote
its own negative values.
|
There is no evidence that gambling makes people not
care about others. People do not gamble because they expect to win lots of
money. Most gamble as a form of entertainment. Also, there are many areas of
life where success is not the result of merit or hard work. Someone born to
well-off parents may get many advantages in life without merit or hard work.
There are therefore no grounds for thinking that gambling promotes these
undesirable values. The desire for wealth one that stems from society as a
whole, not casinos.
|
Gambling is a harmful activity and could have harmful
effects on not only to individuals but also on their friends and family.
Gamblers may win money from time to time, but in the long run, the house
always wins. Why should governments allow an activity that helps their
citizens lose the money they have worked so hard to earn? Surely it is the
responsibility of the government to protect its citizens from harming
themselves, just as harmful substances are illegal, gambling should also be
illegal.
|
Gambling is simply a leisure pursuit. People have free will and should be allowed to spend
their money on which ever leisure pursuits they choose. Gamblers know that,
overall, they are likely to lose money. They gamble because it is a leisure
pursuit that they enjoy.
There is nothing irrational about this. Some people get
an enjoyable thrill from the remote possibility that they might win a huge
prize – even if he or she loses, they enjoy the experience. Some forms of
gambling are highly sociable. For example, many people are involved in
‘social gambling’ and go to bingo halls (or equivalent) to spend time with
friends, and some types of gambling are interlinked with other leisure
pursuits such as horse racing.* Society accepts people spending money on
other leisure pursuits with no material benefits (e.g. cinema tickets,
watching sport) – gambling should not be any different. It is patronizing to
suggest that people should not be able to choose how they spend their money
or their leisure time.
|
Gambling is not impossible to ban, although it will not
be easy such examples of states that have banned it show that it is possible
and although illegal activity may arise from the ban this can also be stopped
by though rules. If government did not ban activities where some may find a
way around it, nothing would be banned at all.
Making an activity more difficult to pursue will still
reduce the number of those who take it up. It is not impossible to put
effective deterrent steps in place, such as the recent US ban on American
banks processing credit card payments to internet gambling sites.
|
It is impossible to effectively ban gambling. When gambling has been banned, people have just found
a way round the ban. They use internet sites based in other countries. A good
example being the Ukraine, who in May 2009 made gambling illegal, this
included internet gambling. By July 2009, over 500 illegal gambling
operations were established, where 6,000 slot machines were confiscated and
216 criminal charges were made in connection to illegal gambling. This
illustrates how banning gambling can creates a thriving underground market.
It is better to legalize and regulate online gambling
than to drive gamblers to poorly-regulated foreign operators. Regulation can
reduce the problems identified by the proposition. For example, online
gamblers can be required to give personal details when registering (e.g.
occupation, income). If this information suggests he or she is spending more
than they can afford, the company can block their credit card.
|
The economic benefits of casinos are exaggerated. They
generally only create low-paid jobs for local people – the casino companies
usually bring in managers from elsewhere. The problems associated with
casinos (e.g. crime, gambling addiction) outweigh the economic benefits. In
any case, an immoral industry is not justified by the fact that it creates
employment.
|
Casinos create positive economic effects in the
communities that host them. Casinos can revive entire areas and regions. They
create jobs and cause money to be spent on transport infrastructure. The jobs
are not just in the casino itself. More jobs are created in hotels and other
parts of the tourism industry. In an article for nwjob.com Sandra Miedema,
‘Snoqualmies’ employment coordinator is quoted saying that at any one time
there are an average of 20 vacancies, from chefs to table dealers. In the
United States commercial casinos employed more than 350,000 people in 2003.
Casinos have helped to regenerate many places that previously had
considerable poverty and social problems, e.g. Atlantic City, New Jersey.
|
Gambling is quite different from buying stocks and
shares. With the stock market investors are buying a stake in an actual
company. This share may rise or fall in value, but so can a house or artwork.
In each case there is a real asset that is likely to hold its value in the
long term, which isn’t the case with gambling. Company shares and bonds can
even produce a regular income through dividend and interest payments. It is
true that some forms of financial speculation are more like gambling – for
example the derivatives market or short-selling, where the investor does not
actually own the asset being traded. But these are not types of investment
that ordinary people have much to do with. They are also the kinds of
financial activity most to blame for the financial crisis, which suggests we
need more government control, not less.
|
Many activities directly comparable to gambling are
already legal and regulated. What is the
difference between gambling and playing the stock market? In each case people
are putting money at risk in the hope of a particular outcome. Gambling on
horse-racing or games involves knowledge and expertise that can improve your
chances of success. In the same way, trading in bonds, shares, currency or
derivatives is a bet that your understanding of the economy is better than
that of other investors. Why should one kind of online risk-taking be legal
and the other not?
|
0 Comments