The Truth About Lottery Advertising

In the United States, people spend billions of dollars on lottery tickets each week. Some play for fun and others believe that winning the lottery is their last, best or only chance at a better life. But the odds of winning are astronomically low, and there are many ways to bet without risking so much money. In addition, there is often a lot of psychological manipulation in lottery advertising. It is not so different from the tactics that video-game makers or tobacco companies use to keep their products on people’s hands.

The earliest state lotteries began in the 17th century as public charity and civic duty, but they became increasingly popular because of their ability to raise funds for a wide variety of government purposes. Initially, lottery proceeds were earmarked for social welfare programs and for schools, but over time they were used to fund a variety of government services, including roads, bridges, parks, and even to subsidize the national debt. In the late twentieth century, with Americans becoming increasingly tax-averse, lottery sales skyrocketed.

In theory, a lottery game works like this: the government sets a prize pool and draws a number of winners at random. The prizes can be anything from cars to houses, but there are also a lot of smaller awards like restaurant gift certificates or cash amounts. A percentage of the total prize pool is taken out for organizational costs and profits, while the rest goes to the winners. A number of states have laws limiting how much people can win in a single drawing, but these rules are often ignored by players.

As the prize pools grow larger, it becomes more difficult to win a jackpot in a single drawing. Hence the need to hold multiple draws. To increase the chances of winning, many players purchase multiple tickets. In addition, some people have quote-unquote “systems” that are not based on statistical reasoning about which numbers to choose or which stores to buy their tickets from. Regardless, these people know that the odds are absurdly low, but they continue to play because of the pleasure and hope they get from the process.

When lottery advocates stopped being able to sell the lottery as a state silver bullet, they resorted to more fanciful strategies. Instead of claiming that a lottery would float the entire budget, they began to argue that it would cover a specific line item, usually something popular and nonpartisan like education, elder care, or support for veterans. This strategy gave them moral cover and made it easier to campaign for legalization.

In the end, however, the lottery is a form of gambling. And it’s not only a morally dubious enterprise but, as Cohen points out, it’s highly responsive to economic fluctuations. Lottery sales increase as incomes decline and unemployment grows, and they are promoted in neighborhoods that are disproportionately black and poor. And, like all commercial products, they are addictive.