The lottery is the most popular form of gambling in the country. States promote it as a way to boost revenue without raising taxes and say its proceeds benefit the public. But that’s a deceptive message that obscures the regressivity of this type of gambling and its impact on low-income communities, problem gamblers and others. Moreover, it’s at cross-purposes with the broader public interest.
Lotteries are a popular source of tax-free revenue for state governments, and they are particularly appealing to lawmakers in times of fiscal stress because the proceeds can be claimed as public spending that doesn’t require voters to approve a higher levy or other tax increase. However, studies show that the popularity of lotteries has little to do with a state’s actual financial health.
Marketing campaigns expertly capitalize on a psychological phenomenon known as FOMO (fear of missing out). They present the purchase of a ticket as a minimal investment with an exponentially greater return, creating a sense of urgency and aspiration. Narratives of past winners, and the idea that anyone can become rich with just one ticket, reinforce these desires.
But lottery advertising also plays on a deeper psychological desire that we are all innately worthy of success, that the lottery is the only thing that will allow us to achieve our dreams. This is especially true of lower-income people, who play the lottery more heavily relative to their incomes because they are more likely to believe that a life of luxury can be within reach if only they have enough luck.