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Who plays the numbers games in the middle of the day?

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  • Kathryn L. Combs
  • John A. Spry

Abstract

We analyse the increase in sales of Pick 3 and Pick 4 daily numbers lottery games and other Ohio Lottery games after Ohio introduced midday drawings for the Pick 3 and Pick 4 games in August 1999. The midday drawings increased Pick 3 sales by 5%, Pick 4 sales by 12%, and total lottery sales by 2% based on our analysis of a 36-month panel dataset of Ohio lottery sales by zip code. Midday drawings raise more revenue from the strongly regressive daily numbers games. However, the introduction of midday drawings does not change the negative income elasticities of demand for numbers games in an economically meaningful manner.

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File URL: http://hdl.handle.net/10.1080/00036846.2010.524634
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Bibliographic Info

Article provided by Taylor & Francis Journals in its journal Applied Economics.

Volume (Year): 44 (2012)
Issue (Month): 7 (March)
Pages: 889-897

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Handle: RePEc:taf:applec:44:y:2012:i:7:p:889-897

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  1. Ann Hansen, 1995. "The Tax Incidence of the Colorado State Lottery Instant Game," Public Finance Review, , vol. 23(3), pages 385-398, July.
  2. Garrett, Thomas A. & Marsh, Thomas L., 2002. "The revenue impacts of cross-border lottery shopping in the presence of spatial autocorrelation," Regional Science and Urban Economics, Elsevier, vol. 32(4), pages 501-519, July.
  3. Donald Siegel & Gary Anders, 2001. "The Impact of Indian Casinos on State Lotteries: A Case Study of Arizona," Public Finance Review, , vol. 29(2), pages 139-147, March.
  4. Charles T. Clotfelter & Philip J. Cook, 1988. "Implicit Taxation in Lottery Finance," NBER Working Papers 2246, National Bureau of Economic Research, Inc.
  5. Clotfelter, Charles T & Cook, Philip J, 1990. "On the Economics of State Lotteries," Journal of Economic Perspectives, American Economic Association, vol. 4(4), pages 105-19, Fall.
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