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ALittleBitMoreEvidenceofLotteryRegressivity:TheKansasStateLotteryPamelaMobilia,Ph.D.BrooklynCollegeandNationalBureauofEconomicResearchThispaperexaminestheexistenceofregressivityattheKansasStateLotteryusingcountyleveldata.Theclassic"t-test"isusedtotestifthemeanpercapitabetinclasses,definedasbeingbeloworabovethemedianstateincome,arethesame.Theresultsshowthatthemeansofthepercapitabetsarenotstatisticallydifferent.Anothertestdirectlytestsregressivityusingthemeanofbetsexpressedasapercentageofincome.Theresultsshowthatlowerincomecountiesbetmoreasapercentageofincome.Thesecondtestalsodefinesclassesasbeingbeloworabovethemedianeducationallevel,laborforceparticipationrate,employmentrate,unemploymentrate,populationdensity,percentagewhiteandthepopulationsize.TheresultsshowthatKansasrunsaregressivelottery.America'sgamblingfeverhasbeenreceivingagreatdealofattentionasgamblinghasbecomemoreacceptableandreadilyavailableinrecentyears.Infact,someformofgamblingislegalandavailableineverystateexceptforHawaiiandUtah.However,moregamblinghasbeenaccompaniedbymoredebate.Staterunlotterieshavebeenchampionedbylegislatorsasstatesseeknew"sourcesofrevenue.Theultra-highstakesoflottogameshavetransformedasmallchangeindustryintoa$16billioncashcowforfinanciallypressedstates(Passell,1989).Organizedreligion'sopposition(oncestrong)hasbeenstifledascharitableMonteCarloNightsandBingohavebecomepervasive.Biblebeltstateshaveevenenteredthelotteryindustry.However,noteveryonewantstocelebrateorcongratulatestatelotteries.Gamblinghasbeenattackedbecauseofitspotentialharmfuleffectsonsociety,thedangersofcompulsivewagering,andtheerosionofthetraditionalworkethic,asAmericanstrytostrikeitrichwithaluckyticket.Headlinespublicizingthegambling-relatedsuspensionsofCincinnatiReds'PeteRoseandNewYorkYankees'ownerGeorgeSteinbrennerbringthemoralovertonesoftheactivitytopublicawareness(NewYorkTimes,1989,Vescey,1990).Recenteconomicstudiesongamblingfocusontheexploitationofdisadvantagedgroupsbystatelotteries,especiallyontheissueofther
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