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Contiguous State Lotteries

Substitutes or Complements

Bibliographic Data

ID11680610
AuthorsMark Stover (0000-0002-9935-2043, University of Missouri–St. Louis, corresponding author), Mark Edward Stover
Year1990
Volume9
Issue4
Pages565-565
Publication date1990-01-01
Peer ReviewedYes
Open AccessYes
TypeARTICLE
VenueJournal of Policy Analysis and Management (JOURNAL)
Journal identifiersISSN: 0276-8739 • E-ISSN: 1520-6688
PublisherWiley (PUBLISHER • GB)
DOI10.2307/3325268
OpenAlexW2094804680
LanguageEN
Citations received4
References cited3

Lotteries in neighboring states may influence each other in two ways. They may act as substitutes, stealing customers from each other, or they may serve as complements, increasing enthusiasm and awareness so as to boost total sales in both states. Empirical results conflict. Vrooman [1976] finds that lottery sales in New York State are enhanced by sales increases in neighboring states. More recently, however, Mikesell [1987] and Mikesell and Zorn [1987] conclude that per capita lottery sales are higher when one state borders others not offering a lottery. Vrooman examines lottery sales from 1967 to 1975, a period covering only the passive game. The substantial change in lottery operations since that time calls into question the current validity of his results. While more current, studies by Mikesell and later Mikesell and Zorn fail to distinguish between the different types of lottery games offered in neighboring states. Due to similarities in ticket price, expected value of a ticket and marketing, certain types of games in bordering states are quite likely substitutes. However, since lotto is a parimutuel game, the expected value of a ticket varies. Consequently, where contiguous states both offer the lotto game, experienced players may cross the border to play the neighboring lotto game as the expected value of a ticket increases. The purpose of this study is to test whether each of the three major types of lottery games act as complements or substitutes when offered in neighboring states

Algorithm · Economics · State (computer science · Computer Science · Consumer Market Behavior and Pricing · Gambling Behavior and Treatments · Sports Analytics and Performance

  • State lotteries and education

    Open Access•Charles E Menifield, Joy A Clay et al.•Journal of Public Budgeting…•2009

  • Zur Erklärung von Diffusionsprozessen. Das Beispiel der Einführung staatlicher Lotterien in den USA / Explaining Diffusion

    M Lutter•Zeitschrift für Soziologie•2010

  • Longitudinal Evidence of the Changing Socio‐Economic Profile of a State Lottery Market

    Open Access•Maureen A Pirog‐good, Maureen Pirog‐good et al.•Policy Studies Journal•1995

  • A Logistic Regression Model Explaining Recent State Casino Gaming Adoptions

    Open Access•Edward J Furlong•Policy Studies Journal•1998

  • Lottery taxes may be too high

    Open Access•Lany DeBoer•Journal of Policy Analysis and…•1986

  • The Effect of Maturity and Competition on State Lottery Markets

    John L Mikesell•Journal of Policy Analysis and…•1987

  • Are Taxes on Lotteries Too High

    Jon David Vasché•Journal of Policy Analysis and…•1985

Unique citing works4
Citations per year0.13
Citation span1995 - 2010 (16)
Citation velocityhistorical
Highly citedNo
Citation typesNeutral: 4

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