The lottery is a form of gambling in which a prize, often money, is awarded to a random winner selected by a drawing. Modern lotteries are not only a popular form of gambling but also used for military conscription, commercial promotions in which property is given away by a random procedure, and in the selection of jury members. The modern concept of the lottery differs from its ancient predecessor in that it requires payment for a chance to win, and it is not necessary for winning to be proportional to the total number of entries. This is why many people who are not gamblers play the lottery, and this explains why so many states endorse it.
Although the history of state lotteries varies widely, most follow similar patterns: a government legitimises a monopoly for itself; establishes an agency or public corporation to run the lottery; begins operations with a modest number of relatively simple games; and, under continuous pressure for increased revenues, progressively expands the lottery in size and complexity, particularly by adding new games. The resulting growth is fueled by enormous advertising budgets that are focused on persuading people to spend money on the games.
Lottery advertising typically conveys a message that the game is a fun way to spend time and that playing the lottery is like exercising your civic duty or doing your part to help your neighbors. This message has been successful in promoting the lottery and has obscured its regressive nature. The messages are also aimed at convincing people that they can have a better lifestyle through the lottery and by encouraging them to consider playing more frequently.
In addition to the general public, lottery advertisements are geared toward convenience store operators (who have become the principal vendors of tickets); suppliers of lottery equipment and services (heavy contributions by such suppliers to state political campaigns are commonly reported); teachers (in states in which lottery proceeds are earmarked for education); and state legislators. As a result, the lottery is a classic example of a policy that develops extensive and specific constituencies and in which the general welfare, as defined by politicians, takes second place to the desire to increase revenue.
In the anti-tax era of the immediate post-World War II period, lottery advocates successfully convinced state governments to adopt lotteries on the basis that they provide a source of “painless” revenue by allowing state governments to raise funds without imposing onerous taxes on the working and middle classes. Lottery profits are now a major component of the budgets of most states, and the prospect of increased lottery revenues is frequently invoked in state political campaigns. Moreover, studies show that the popularity of state lotteries is not tied to the actual fiscal circumstances of state governments; in fact, they have often won broad public approval even in periods when the states’ overall financial health is strong. Consequently, the long-term sustainability of lotteries is questionable. A number of states are considering abolishing them.