A lottery is a low-odds game in which winners are chosen by a random drawing. Traditionally associated with gambling, it can also be used in decision-making situations such as sports team drafts and the allocation of scarce medical treatment. While winning the lottery may be an unrealistic fantasy, people still play it for the chance to become millionaires and improve their lives.
While the concept of lotteries has a long history—including several instances in the Bible—the modern state-run lottery is relatively recent. After a slow start, public opinion turned favorable and lotteries have been embraced in most states. In 1964, New Hampshire introduced its lottery to raise funds for education and cut into the illegal gambling profits of organized crime. Inspired by the success of New Hampshire, other states soon followed. Now, all but two states have a state lottery.
Lotteries are marketed as an easy way to win life-changing wealth. They are advertised on television, radio, and billboards. They feature narratives of past winners and their dreams of wealth. And the prizes continue to grow, making it more appealing to play.
Despite the popularity of state-run lotteries, critics point to their negative social consequences. These include their promotion of gambling and their alleged regressive impact on lower-income populations. They also point to their reliance on advertising as a key revenue source, which puts the lotteries at cross-purposes with broader state policy goals. The question is whether it is appropriate for government to run a lottery that promotes gambling and undermines the ability of low-income communities to achieve their goals.