lottery

Tom Ehrich 12-05-2012
Photo: Lottery ticket, © Sean Gladwell / Shutterstock.com

Photo: Lottery ticket, © Sean Gladwell / Shutterstock.com

I played the New York lottery for the first time last week.

My $2 ticket didn't win the $588 million payout – surprise, surprise – but it did buy me several minutes of musing, most of it instructive, some of it enjoyable.

I quickly ran out of spending ideas – slightly larger apartment, new computer, clothes for my wife, a car to replace the two we sold when moving to Manhattan. I realized I couldn't even spend the income on a lottery bonanza, unless I started buying things I don't need or particularly want.

...

In the end, I liked the idea of financial security, but saw little to be gained from sudden wealth. In fact, given the misery that tends to befall lottery winners, I might have dodged a bullet by not winning.

After this brief fantasy, I wondered more than ever why the wealthy work so hard to avoid taxes and other obligations of citizenship. Even though their effective taxes are lower than they were during the Reagan years and far lower than during the great prosperity of the post-World War II era, the wealthy are lobbying fiercely to pay even less in taxes. Once again, they seem willing to crash the government for everyone, rather than pay their share of its support.

Phil Blackwell 5-01-2012

PEOPLE GAMBLE—always have, and always will. But when the state decides to encourage this human tendency and exploit it for its own profit, then we definitely have a moral problem.

In December, the U.S. Justice Department ruled that it is permissible for states to sell lottery tickets online, making it easier for state governments to bilk their citizens. Illinois internet lottery sales were slated to begin in late March. Although the sales are limited to state residents, the greater convenience of internet buying will likely cause more people to try the lottery.

In contrast to a “sin tax” on alcohol and cigarettes, in the case of the lottery the state becomes a pusher of gambling. The government, rather than serving and protecting its people, is “the house,” committed to creating more losers to make more money.

When we follow the advertising money, we discover that the lottery has been sold primarily to the poor and those on fixed incomes: The billboards are in the inner city, not the upscale suburbs. The lottery is promoted in such places with the deceitful promise that a buyer has a good chance to win security for a lifetime.

The Illinois Lottery was started in 1974 and, since 1985, its profits have gone by law to fund public education. In a classic example of “bait and switch,” however, legislators put the lottery money into school funding—but redirected the former funds to other parts of the state budget. Public education remains a major concern in Illinois, even as the lottery has added gimmick after gimmick over the years. Today the state legislature budgets only 75 percent of what is, according to an advisory committee, the minimum acceptable spending per student; it has almost a billion dollars in unmet obligations to the schools.

Gloria Shin 4-02-2012
Photo by Kevork Djansezian/Getty Images

A sign displays the $640 Mega Millions jackpot at Liquorland on March 30 in California. Photo by Kevork Djansezian/Getty Images

This past weekend, millions of Americans crossed their fingers and tuned into the Mega Millions drawing, hoping that they would beat the odds and strike it rich. At my office, a pool was formed; I was the only one who opted out. Although it is good to dream, I did not want to waste my money on the slim odds. After the money was collected for the tickets, we went around the lunch table, and chatted about how we would all spend our Mega Millions. Nearly everyone mentioned giving away a significant chunk to charity.Of course, this is only the right thing to do, when one has so much money (their thought processes went).

This got me thinking ... Does it take $640 million to make a difference? What does it say about us, Americans, who live in the world's richest country – that we view radical generosity as a “rich person thing” for a later time?