It doesn’t take a rocket scientist to see where our state governments are heading. Our governments are in holes so deep that they are exploring every single avenue for cash generation. They started with sin taxes. Raising cigarettes and alcohol taxes. Then came adding lottery. A form of gambling that was originally justified to the residents of their residents as a means to provide additional funding for schools. Of course that funding was soon misdirected back into the general funds. The latest steps have been to raise state taxes. My state, Illinois, has recently raised corporate taxes and personal taxes up another 50%. And yet most states are still in so much debt now states are trying to figure out a way to declare bankruptcy
Can you imagine the effects of a state declaring bankruptcy? Pensions canceled or reworked. Businesses not paid. It would be a financial disaster. A perfect time to bring up online gambling. The money raised by states would be incredible. When faced with a choice of having the state declare bankruptcy or approve online gambling, I think most would approve gambling. Most opponents take the approach of John Kindt from here at the University of Illinois.
“It’s the crack cocaine of gambling, putting it in every living room, on every school desk and work desk, and on every iPhone and BlackBerry,” said Kindt, a senior editor of the United States International Gambling Report, a 3,000-page collection released in 2009.He says the “Nintendo generation” is especially addiction prone. Studies estimate that about 4 percent of young people already are addicted to gambling and 8 to 12 percent are problem gamblers, twice the rate of older Americans.”
And yet our state started the process by legalizing online horse racing. Over the past 15 years, Illinois went from no gambling, to riverboat gambling, to casinos, to the recent slots in horse racing venues and more casinos all over the state. Then they added Internet horse racing in 2009. Next up, everything but sports gambling online. Although it’s not been brought up at the state capital, I think it’s inevitable, merely for the cash infusion to the sate. Millions if not billions, of dollars.
Some would say, why not marijuana. Marijuana is on it’s way as well. They legalize it now by calling it medical marijuana or dispensaries , but they too have become big business and various states are bringing in nice revenue from their change in laws. You wouldn’t think of Michigan as a big marijuana state but they saw how much money California was bringing in and now it’s a HUGE business.
The draw is cash. All ethical and financial repercussions seem to drop when money is involved. This is big money. Money that will be made from people doing something in their own homes. Governments seem to feel more at ease passing laws that allow people to do something in their own home. Online gambling will be here very soon. All it going to take is one state to make the move. Once they prove how much revenue can be made, other states will follow. Right now the bans are enabled by cutting off credit card processing but I see that changing soon. Either a state run gambling card with be created or they will loosen up the rules with Visa and Mastercard.
So get ready, it’s inevitable. My thesis is not based on anything but history. When people need money they do things they would rather not. The states would rather not have Internet gambling but the payout is just to big to ignore.