Widespread Addiction Erupts From Lotteries to Legalized Betting

Betting has always been part of societies around the world since the dawn of civilization. When confined to card games, dice and the ponies, betting was peripheral to the mainstream of daily life. Today, however, betting has become an established means for governments to raise revenue while addicting citizens, whether it be from the legalization of sports betting to lotteries.

Turn on a sporting event on television today and you are subjected to gaming within the game. We are regaled by sports betting sites that offer parlays, moneyline, spread, over/under, player performance and in-play bets. All of this is sanctioned by governments.

In the United States today, 38 states operate sportsbooks. The number in 2017 was one. In 2023, wagering on legally-sanctioned government sportsbooks totaled $121.1 billion. In 017 the number was $4.9 billion. In 2023, 94% of bets were placed online.

Meanwhile, U.S. state governments have continued to promote lotteries and support casino operations that were once confined to places like Reno, Las Vegas and Atlantic City.

Canadian provincial jurisdictions are no different in pursuing the largess gained from citizens lured into the world of gaming.

The consequences to the citizenry are significant. Gambling disorders are on the rise with 80 million globally suffering from this type of addiction. The World Health Organization (WHO) lists the rising peril noting that global estimates suggest 1.2% of the world’s adult population has become addicted with 60% experiencing harmful levels of gambling leading to losses. Global gambling revenue reached US $573 billion in 2024. That number is expected to increase to $700 billion by 2028.

According to a recent investigation described in JAMA Internal Medicine, sports betting is a growing health concern leading to increased incidence of mental illness and suicide. It is a poverty driver, diverting household spending from essential purchases. It is causing marital breakdown, family violence, financial distress, stigma, income-generating crimes, and child neglect. It is feeding corruption in government and business and has become a common way to launder money obtained through illegal activities.

The most significant outcome of the growth of sanctioned gambling is how much of it is online, that numerous apps can easily be downloaded from the Internet, and that sports leagues have embraced gambling to the point that it is often the subject of broadcasts rather than the actual sporting events.

Gambling addiction has become a recognized disorder in the Diagnostic and Statistical Manual of Mental Disorders (DSM), the guidebook for psychologists and psychiatrists who study mental illness and addictions.  In the latest version of the DSM, Version 5-TR, it describes gambling disorder in a person exhibiting at least four of the following behaviours:

• Needing to gamble increasing amounts of money to get the same high.
• Restlessness or irritable behaviour when trying to cut down on gambling.
• Repeatedly unsuccessful efforts when trying to cut back or stop gambling.
• Frequently thinking about gambling.
• Reminiscing about gambling.
• Gambling when feeling distressed.
• Chasing losses by gambling even more after losing.
• Relying on others to help with the money problems caused by gambling.

Financial loss is the most common consequence of gambling disorders. The impact is profound, affecting lifestyle, health and social relationships. While it likely has been around since the dawn of human existence, it never has imposed a greater threat than it does now because of two changes: governments have legitimized it, and the Internet has facilitated its spread.

The Lancet Public Health Commission on Gambling notes that digitalization has transformed commercial gambling with consequences that have yet to be fully realized. Its report states:

“The production of online gambling is interconnected with an ecosystem of software, information technology infrastructure, and financial technology services. The commercial gambling industry has also developed strong partnerships in media and social media. Sponsoring and partnering with professional sports organisations provides gambling operators with marketing opportunities with huge new audiences. This far-reaching and interdependent corporate ecosystem collectively wields substantial influence.” 

To mitigate the risks that legalized betting has created, governments now have to spend money to deal with gambling addiction consequences that they have largely created. This means:

• Increased spending on gambling addiction services using the tax revenues collected from lotteries and sportsbooks to implement treatment programs.
• The need to initiate public education and awareness campaigns to recognize the signs and symptoms of gambling addiction.
• Initiating message similar to the campaigns used by governments to highlight the risks of tobacco and excessive alcohol use.
• Adding to healthcare budgets and personnel for the prevention and treatment of gambling addictions.
• Creating safeguards and restrictions for online gambling, including betting limits, age limits, and credit card use.
• Funding research to compile data on gambling addiction.

When governments first dipped their feet into lotteries to raise money, I doubt they thought that further down the road the consequences would be the opening of a Pandora’s Box negatively contributing to addiction, crime, social inequality, mental health, and suicide risk. That’s what has happened and it is only going to get worse based on current studies. In legitimizing gambling, governments have made it equivalent to entertainment. Gambling’s online presence is now drawing younger audiences. The consequences of the so-called economic benefits of using gambling to raise revenue are now being countered by rising social costs.