Saturday, January 21, 2017

Something Wrong With Government Run Lotteries

Posted: 1/21/2017

I have mentally grappled for a long time what I should think of the pervasive prevalence of government run lotteries in Western democracies. Caveat, I am not really familiar with many of them.

  1. Usually, these lotteries are run as state monopolies. Hence, private, commercial lotteries of the same scale usually do not exist in the same country
  2. It is a form of government controlled gambling and a prohibition of private enterprise
  3. These lotteries are highly profitable for governments! That these profits are dedicated to be spent on public goods is a pretense
  4. Usually, the lottery prizes are highly skewed towards extreme prizes for a few winners. These prizes then are taxed accordingly! Nice!
    Why not have smaller prizes for many winners? Why so much for a few?
  5. Apparently, before the 20th century, lotteries in the U.S. used to be privately run, before they were prohibited by government like in other Western countries
  6. If lottery is a form of taxation, then why not make tax payments entirely a voluntary expense for citizens instead of being compulsory! Make Benjamin Franklin proud who said “Our new Constitution is now established, and has an appearance that promises permanency; but in this world nothing can be said to be certain, except death and taxes.” (or Daniel Defoe)
    Ban this certainty of taxes so citizens can vote with their money for the policies of our elected representatives. More democracy with dollars and cents!

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