Spreading the Fortune: The Distribution of Lottery Prizes across Countries
AbstractIt has been 15 years since Cook and Clotfelter described the scale economies associated with state-run lotto games in an American Economic Review article entitled “The Peculiar Scale Economies of Lotto.” U.S. states with larger populations are identified as having the ability to offer games with larger jackpots to attract higher sales per capita. The current paper extends this analysis to all current U.S. state and multi-state lotto-style lottery games as well as to a sample of international lotto games for comparative purposes. The development of the two major U.S. multi-state games over time is also examined to illustrate that changes in the structure of those games can be explained by an application of the scale economies concept offered by Cook and Clotfelter.
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Bibliographic InfoPaper provided by College of the Holy Cross, Department of Economics in its series Working Papers with number 0904.
Length: 32 pages
Date of creation: Mar 2009
Date of revision:
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More information through EDIRC
lotto; lottery; public finance; gambling;
Find related papers by JEL classification:
- D81 - Microeconomics - - Information, Knowledge, and Uncertainty - - - Criteria for Decision-Making under Risk and Uncertainty
- H71 - Public Economics - - State and Local Government; Intergovernmental Relations - - - State and Local Taxation, Subsidies, and Revenue
- L83 - Industrial Organization - - Industry Studies: Services - - - Sports; Gambling; Restaurants; Recreation; Tourism
This paper has been announced in the following NEP Reports:
- NEP-ALL-2009-03-22 (All new papers)
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