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Agglomeration Spillovers from Native Nations: Evidence from Casino Reopenings

Author

Listed:
  • Matthew T. Gregg
  • Alice Tianbo Zhang
  • Elliot Charette

Abstract

Gaming establishments provide a significant source of revenue for tribal governments, but little is known about the impact of such large investments outside of reservations. Using high-frequency data from millions of mobile devices and the differential reopening dates of tribal casinos during the COVID-19 pandemic as a natural experiment, we find large and persistent effects of casinos' reopening on foot traffic to nearby businesses in complementary industries, such as hospitality and retail trade, located outside of reservation boundaries. Our results inform government revenue administration and resource allocation, making the case for stronger economic cooperation between tribal and state governments.

Suggested Citation

  • Matthew T. Gregg & Alice Tianbo Zhang & Elliot Charette, 2025. "Agglomeration Spillovers from Native Nations: Evidence from Casino Reopenings," AEA Papers and Proceedings, American Economic Association, vol. 115, pages 438-444, May.
  • Handle: RePEc:aea:apandp:v:115:y:2025:p:438-44
    DOI: 10.1257/pandp.20251123
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    More about this item

    JEL classification:

    • I12 - Health, Education, and Welfare - - Health - - - Health Behavior
    • J15 - Labor and Demographic Economics - - Demographic Economics - - - Economics of Minorities, Races, Indigenous Peoples, and Immigrants; Non-labor Discrimination
    • L81 - Industrial Organization - - Industry Studies: Services - - - Retail and Wholesale Trade; e-Commerce
    • L83 - Industrial Organization - - Industry Studies: Services - - - Sports; Gambling; Restaurants; Recreation; Tourism
    • L88 - Industrial Organization - - Industry Studies: Services - - - Government Policy
    • R23 - Urban, Rural, Regional, Real Estate, and Transportation Economics - - Household Analysis - - - Regional Migration; Regional Labor Markets; Population
    • R32 - Urban, Rural, Regional, Real Estate, and Transportation Economics - - Real Estate Markets, Spatial Production Analysis, and Firm Location - - - Other Spatial Production and Pricing Analysis

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