We all know that gambling is, in effect, a regressive "voluntary" tax, since the poor spend a greater proportion of their income on games than propserous gamblers. But which form of gambling is the most regressive, i.e. adds the most to income equality? No, not casinos:
Lotteries, now offered in 43 states, worsen the growing inequality in incomes because of the regressive nature of that gambling, says a complex study by Irwin Morris, a political scientist at the University of Maryland, College Park, and doctoral student Elizabeth Freund, published in Social Science Quarterly.
Dr. Morris estimates that the creation of a lottery in a state adds about 10 percent to overall growth in average income inequality in the state. That's equivalent to a state losing 2 percent of its manufacturing, a sector that tends to pay more than service jobs.
A more recent paper by the pair calculates that new casinos had no effect on income inequality. This reflects the fact that the poor are less likely to indulge in gambling at casinos. They can buy lottery tickets with ease at gas stations or convenience stores. Getting to a casino can involve a long drive or an expensive flight and hotel stay.
Further proof, as if we needed it, of the state's depravity in getting into the gambling business.
