What is a Lottery?
Lottery is a type of gambling in which numbers or symbols are drawn to determine winners. Traditionally, lottery drawings were done by hand, but computer technology has been increasingly used in these arrangements to ensure that the selection of winners is completely determined by chance. Lotteries are legal in all states, and their profits are generally used to fund state programs.
In the United States, all state lotteries are operated by a government that has granted itself sole rights to operate a lottery and uses all its profits for state programs. These lotteries are monopolies that do not allow competing commercial or private lotteries, and they sell tickets to all adults physically present in the state where they operate.
A large number of retailers sell lotteries tickets, including convenience stores, gas stations, restaurants and bars, and non-profit organizations (churches and fraternal groups). In 2003, the National Association of State Lottery Directors estimated that there were nearly 186,000 retail outlets selling lottery tickets. Among them, the largest were chain stores.
The NGISC report notes that lottery players are disproportionately lower-income and less educated and that the highest percentage of lottery play occurs in neighborhoods associated with low-income residents. It is difficult for the lottery to control this trend, because people from poor neighborhoods frequently purchase their tickets outside the neighborhoods where they live.
The message that lottery commissions rely on is that playing the lottery is fun, an experience that evokes a sense of adventure and unlocks extraordinary possibilities. This message obscures the regressivity of the game and the enormous share of a person’s income that it sucks up.