How Gaming Industry Helps in Bolstering Economic Development?
Las Vegas is rejuvenating, Atlantic City is struggling and the casino companies are all desperately looking for licenses in Massachusetts. Casino operations in Native America are expanding. There are indeed a number of moving pieces in the US gambling industries like Hra Velka, hence it is pretty tough to know which house is winning. For the first time, the American Gaming Association introduced an economic impact report on the importance of this industry and its impact on the American economy.
Casinos offer direct employment to around 580,000 people with total job impact of 1.7 million, which creates about 200,000 jobs. Revenues of about $81 billion in 2013 included around $40 billion from the casinos of Native America. $38 billion was paid in the form of taxes and it played a huge role in impacting the economy. In terms of total jobs, this is even larger than the airline industry. As there’s too much competition within the casino and gambling industry, you will really see some states look at the policies and analyze the ways in which they can easily remain competitive.
This year still remained the benchmark as the association said that the industry labor income has now exceeded its prerecession levels, hitting $30 billion. Consumer expenses on gambling have also hit an all-time high of $68 billion. It has been seen that the biggest challenges has been to work with those regulators to allow all the manufacturers of such gaming equipments to move their products throughout the state. There are too many regulations to move things throughout the country.
Economic benefits of casinos – Do they outweigh the costs?
During the last 2 decades, there has been a sudden rise in the number of US casinos. The American Gaming Association says that here are nearly 1000 tribal and commercial casinos within the country. Here are some economic benefits.
- Tax perks: The biggest and the most important political benefit of casinos are tax revenues. Although legalized gambling in most states offer a very small proportion of tax receipts, taxes collected from casinos do make it easier for the politicians to avoid other tax increases or spending cuts.
- Crowds out competitors: The critics of casinos usually argue that casinos might harm the other industries, which is called industry cannibalization. Actually any new business which tries to compete with another existing one does the same thing and this is easily a part of market economics. As a new casino creates new options for the consumers and the labor class, if people didn’t enjoy gambling, they wouldn’t spend their dollars in casinos. Casinos also have an impact on lotteries such as Hra Velka
Different policymakers at different places in the world have their own approaches to comprehending the effects of the casinos. While some states have commissioned some ongoing studies, some others like Massachusetts have commissioned a multi-year study of the social and economic impact of casino gambling within the nation. Hence, it can be concluded by mentioning again that the presence of casinos in our country is extremely necessary to bolster the economic growth and development. For more information on casinos and gambling and the different ways in which they can provide entertainment.