Most people have at least fantasized about winning the lottery, and the fantasy is a powerful one. It often involves immediate spending sprees, fancy cars, luxury vacations and all kinds of other indulgences. People also think about paying off mortgages, student loans and other debts and investing the remainder in a variety of savings and investment accounts. It could be the start of a whole new life.
State lotteries are booming, with Americans spending over $100 billion each year on tickets. But lotteries have a long and sometimes rocky history, both as public games and private vices.
There’s an inextricable human impulse to gamble. Hence, the billboards on the highway offering instant riches. And there’s also the lure of a better future, especially in an age when income inequality and social mobility are on the rise.
Lotteries are a major source of revenue for state governments, but they don’t just bring in money; they send out messages that can be both beneficial and harmful. For example, they’re a powerful tool for states to promote their general welfare programs. They can argue that people who buy tickets are doing their civic duty by donating to the state.
They can also send the message that the proceeds of a lottery are specifically dedicated to a particular public good, such as education. This argument is particularly effective when the public is concerned about an imminent fiscal crisis. But it’s also a dangerous argument in a society where increasing inequality is making the middle class and working classes less willing to pay ever-larger taxes.