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Macro‐Determinants of Gambling in Industrialized Nations

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  • Frederic L. Pryor

Abstract

This study investigates some of the macro‐determinants of commercial gambling in 21 industrialized nations. Of the possible economic determinants, two seem particularly important: the per capita income of the country since gambling represents a larger share of the income of low‐income people than high‐income people; and the general uncertainty of the economic environment, as measured by annual fluctuations in the GDP. Of the possible cultural determines, two also seem particularly important: the values held by the population, as measured by a factor analysis of a number of questions from the World Value Study; and the degree to which the society insures against risk through social welfare expenditures. For the OECD nations in the early part of the 21st century, all four variables prove to be significantly related to the ratio of gambling expenditures to disposable income.

Suggested Citation

  • Frederic L. Pryor, 2008. "Macro‐Determinants of Gambling in Industrialized Nations," Kyklos, Wiley Blackwell, vol. 61(1), pages 101-113, February.
    • Handle: RePEc:bla:kyklos:v:61:y:2008:i:1:p:101-113
    DOI: 10.1111/j.1467-6435.2008.00394.x
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    1. World Bank, 2007. "World Development Indicators 2007," World Bank Publications - Books, The World Bank Group, number 8150, April.
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    1. Alharbi, Samar & Atawnah, Nader & Al Mamun, Md & Ali, Muhammad Jahangir, 2022. "Local culture and tax avoidance: Evidence from gambling preference behavior," Global Finance Journal, Elsevier, vol. 52(C).

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