Is Lottery Gambling Addictive?

A-Tier
Journal: American Economic Journal: Economic Policy
Year: 2010
Volume: 2
Issue: 3
Pages: 90-110

Authors (2)

Score contribution per author:

2.011 = (α=2.01 / 2 authors) × 2.0x A-tier

α: calibrated so average coauthorship-adjusted count equals average raw count

Abstract

We present an empirical test for the addictiveness of lottery gambling that exploits an exogenous shock to local market consumption of lottery gambling. It uses the sale of a winning jackpot ticket in a zip code as an instrument for present consumption and tests for a causal relationship between present and future consumption. This test estimates the time path of persistence nonparametrically. Data from the Texas State Lottery suggests that after 6 months, roughly half of the initial increase in lottery consumption is maintained. After 18 months, roughly 40 percent of the initial shock persists, though estimates become less precise. (JEL D12, H27, H71)

Technical Details

RePEc Handle
repec:aea:aejpol:v:2:y:2010:i:3:p:90-110
Journal Field
General
Author Count
2
Added to Database
2026-01-25