frederickclarkson.com

The blog of Frederick Clarkson

Archive for the ‘casino gambling’ Category

Why Governor Patrick’s Casino Plan is Going Down the Drain

with one comment

Leo Maley’s op-ed in the Amherst Bulletin spells it out. Maley points out that casinos are generally economically distastrous, and “result in considerable individual and societal harm.” Everyone knows that a lot of gamblers become “problem gamblers,” a term which does not nearly explain the breadth and depth of the “problems” faced by individuals, their families, communities and society at large. Maley reports, for example, that “Gulfport, Miss., saw a 213 percent increase in suicides (from 24 to 75) in the first two years after casinos opened in the city. Such numbers are replicated elsewhere.”

Seems to me that one of the best programs for suicide prevention would be to ensure that casino gambling never takes hold in Massachussetts. Here is an excerpt from Maley’s piece:

Money spent in casinos is diverted from other areas of the economy. Area businesses suffer. Looking at data from the state of Illinois, Earl Grinols, author of the most comprehensive book-length study of the economic benefits and costs of casino gambling, found that for every $1,000 in casino revenue, businesses within 10 miles of a casino saw a decline of $367 in merchandise sales. Commercial casinos actually generated net job losses in 42 percent of counties where they were introduced. A study in the June 2007 issue of the American Journal of Economics and Sociology concludes that the states “should not expect any long-term growth effects from legalizing casino gambling.”

Independently owned restaurants are especially hard hit. Drawing on ample data from regions around the country that have introduced casino gambling, the Massachusetts Restaurant Association estimates that casinos would force the closure of about 200 restaurants in the state.

These macro economic trends can undercut the economic vitality and diversity of an entire region. But the effect on individuals ought to concern us the most. Estimates vary, but it is likely that 40 to 50 percent of gaming machine revenues of a typical casino comes from problem or pathological gamblers.

A comprehensive literature review conducted by the National Gambling Impact Study Commission found that the rate of problem and pathological gambling addictions double among populations that live within 50 miles of a casino. A recent study published in the American Journal of Geriatric Psychiatry found that more than 10 percent of people over the age of 65 are at risk of having financial problems because of gambling, and that older gamblers are increasing at the fastest rate.

A Harvard Medical School study shows that 6 percent of the population has trouble with gambling at some point in their lives and 4 percent – 250,000 people in Massachusetts – report that in the past year they have had problems controlling their urge to gamble. Now imagine if that number were doubled.

Written by fred

March 15th, 2008 at 12:56 pm

Nix Gambling Addix as Economic QuikFix

with one comment

So says the growing chorus of opposition to what I call Governor Deval Patrick’s plan to expand gambling addiction in Massachusetts. Although as a candidate he opposed casino gambling, Patrick has made casino gambling the centerpiece of his economic program. This has come as a surprise to those of us who supported him from early on.

The Boston Globe reports that while the governor’s support for his own program has been “tepid,” a far flung network of opponents from the Massachusetts Council of Churches to the Massachusetts Restaurant Association is mobilizing against it. Restauranteurs are rightfully concerned that massive “resort casinos” will undermine existing businesses:

Over the past several years there has been a well-funded effort to expand gaming in the Commonwealth. Proposals to allow thousands of slot machines at the state’s racetracks have been unsuccessful thus far. There are important economic risks that could result from expanding gaming, in addition to the well-documented social costs.

The MRA opposes all efforts to expand gaming and allow slot machines at racetracks.

* The restaurant industry is vital to the state’s economy and our success is directly correlated to people’s discretionary income. The expansion of gaming would divert much of that discretionary income out of the economy,the same income that is presently used for dining out.

* The huge revenues that would be created by slot machines would allow these establishments to attract customers away from our businesses with their free or subsidized food, beverages, and entertainment.

* The restaurant industry is vital to the state’s economy. We employ over 9% of the Massachusetts workforce and contributed over $591 million in sales tax on meals last year. Expanded gaming would put this very important economic engine at great peril.

* Our industry is currently being challenged by the economy. Today, operators are facing huge increases in the cost of doing business. Some of these factors include healthcare, energy, and the overall vulnerability in the commodities market.

Restaurants are good neighbors and are owned by many people who have invested in their communities. The livelihoods of many are dependent upon the success of these small businesses. To shift the income of a few businesses (racetracks) would be benefiting a few at the expense of many.

Meanwhile, a pro-gambling addiction state legislator plans to stage a procasino hearing featuring… (drum roll please) — the gambling industry!

The Springfield Republican reports:

BOSTON – Hoping to create some momentum, a pro-casino legislator plans to hold a hearing on Beacon Hill that will emphasize the economic benefits of expanded gambling.

State Rep. David L. Flynn, D-Bridgewater, said he invited representatives of some gambling companies including Harrah’s Entertainment of Las Vegas and owners of the state’s four horse and dog tracks.

“We had the anti-gaming hearing, the can’t-do hearing,” said Flynn, co-chairman of the Committee on Bonding, Capital Expenditures and State Assets. “This is a can-do hearing.”

Oh yeah. And top officials of the Patrick administration will be there too.

Written by fred

December 8th, 2007 at 1:33 pm

Rudy Giuliani’s Casino Gambling Sugar Daddy

without comments

The Daily News reports:

Rudy Giuliani is jetting around the country wooing Bible-thumping conservatives, but his plane is often provided by a king of Sin City.

The Republican presidential hopeful anted up more than $122,000 last summer alone for jets traceable to casino kingpin Sheldon Adelson, whose Las Vegas Sands empire has made him the third-richest American, a Daily News review of campaign records shows.

Last quarter, The Sands’ innocuously named Interface Operations LLC was the top provider of corporate jets to the frequently flying Giuliani, who was whisked around the country on the casino’s plush Gulfstream G-IV in late August and early September, records show.

“You have to follow the money and ask, ‘Why is Sheldon Adelson partnering with Rudy Giuliani?’” asked Stacey Cargill, an anti-gambling and Republican Party activist in Iowa, where the nation’s first presidential caucus is set for Jan. 3.

Cargill, who views even legal gambling as a magnet for crime and vice, said, “If Rudy Giuliani wants to be the crimefighting candidate, why is he partnering with a large and growing gambling empire?”

But airplane rides around the country are not the only thing Giuliani has recieved from the casino kingpin:

Last month, Adelson… held a Giuliani fund-raiser at his Venetian casino in Las Vegas.

High-rollers who agreed to raise $25,000 for Giuliani’s presidential bid got a special treat – cigars with the former mayor.

Written by fred

November 18th, 2007 at 8:58 pm