US Gambling Research Articles

US Gambling Stagnation

Much has been written recently in the popular press about the rise of sports gambling, historical horse racing or instant racing (HHR), and esports. However, despite this, some note an overall decline in the popularity of gambling and gaming in general as horse racing (pari-mutuel) wagering has declined dramatically over the decades and as casino and lottery revenues have fallen slightly since before the Great Recession. This exploratory research note examines the trends in US gambling over the last several decades and explores whether the new forms of gambling will stem and reverse overall gambling stagnation in the United States. Despite reports of new gambling outlet successes, it appears that sports gambling, HHR, and esports have not done much to stop the overall fall in gambling revenues. This is probably due to stagnant disposable personal income growth.

US Gambling Stagnation: Will New Gambling Forms Make a Difference?

Much has been written recently in the popular press about the rise of sports gambling, historical horse racing or instant racing (HHR), and esports. However, despite this, some note an overall decline in the popularity of gambling and gaming in general as horse racing (pari-mutuel) wagering has declined dramatically over the decades and as casino and lottery revenues have fallen slightly since before the Great Recession. This exploratory research note examines the trends in US gambling over the last several decades and explores whether the new forms of gambling will stem and reverse overall gambling stagnation in the United States. Despite reports of new gambling outlet successes, it appears that sports gambling, HHR, and esports have not done much to stop the overall fall in gambling revenues. This is probably due to stagnant disposable personal income growth.

Examining millennials’ online gambling behavior: a comparison of generational differences

PurposeThis study aims to examine Millennials and generational differences in online gambling activity by comparing online gambling behavior across four different generations: Silent Generation, Baby Boomers, Gen Xers and Millennials.Design/methodology/approachThe sample comprised tracked gambling data at the individual player level provided by an online casino accepting real money wagers in a major US gambling market. Attributes of gambling behavior were examined and compared across different generations using Kruskal–Wallis test and pairwise comparisons.FindingsGenerational differences were observed in 13 of the 16 behavioral variables. Millennials spent the least amount of time on gambling and exhibited the lowest scores on the number of days for slot gambling, trip length and trip frequency among all generations. However, their average table gaming volume per play day was greater than those of other generations.Practical implicationsThe results of this study provide a better understanding of the generational differences in online gambling behavior. They also help casino operators and gaming machine manufacturers develop casino games and products that can appeal to different generational groups in the online gambling market.Originality/valueDespite the on-going industry discussion about Millennials and their potential influence on the online gambling market, there appears to be a paucity of empirical research on the online gambling behavior of the Millennial generation. This study fills that gap in empirical evidence, addressing generational differences in online gambling.

The GATS: a legal perspective on crossroads of conflicting interests

AbstractThe GATS was concluded among countries with conflicting interests. Although all its parties were interested in this agreement as an instrument for the enhancement of global trade in services, due balance between this interest and other interests, such as the special status of developing countries and of the sovereign right of Members for domestic regulation, formed a pre-condition for countries' adherence to it. Consequently, these interests were explicitly recognized in the agreement. Nevertheless, analyzing two recent GATS/GATT cases, US–Gambling and China–Publications and AV Products, the article suggests that the WTO adjudicating bodies might be keener to legally assist a complaining developing Member than respondents which are developing Members. It further suggests that in these cases the interests of international trade liberalization seem to prevail over domestic policy goals. The article further analyzes the current and future possible adverse implications of this approach on GATS development as the only multilateral instrument for the enhancement of international trade in services.

Capital ventures into biology: biosocial dynamics in the industry and science of gambling

This paper draws upon and develops Paul Rabinow's concept of biosociality to analyse how the field of gambling research, the facts about gambling addiction and the politics of gambling regulation are in the process of transforming one another as the US gambling industry has begun to provide large amounts of funding for scientists and clinicians working on gambling problems. In particular, the paper focuses on the political economy of research that suggests that the negative consequences associated with gambling are not just social problems, but neurobiological ones. The paper introduces the notion of ‘biopolitical capital’ in order to describe how the gambling industry invests in particular kinds of research which are more likely to yield results that can be mobilized to support particular kinds of approaches to dealing with the social and personal problems associated with gambling.

The Morals and Order Exceptions in WTO Law: Balancing the Toothless Tiger and the Undermining Mole

On 10 April 2007, the United States requested consultations with China regarding trading rights for publications and audiovisual products. Following US—Gambling, this case is likely to provoke the next clash between free trade and public morals. This article takes an abstract approach to the scope and content of the public morals and public order exceptions in the GATS and the GATT and, given the absence of a public order exception under the GATT, analyzes how these two concepts interrelate with one another. In this regard, the finding in US—Gambling that Members should individually define the scope of Article XIV(a) GATS is critically examined, but the article suggests that it deserves support based on an interpretation in accordance with general principles of the law of treaties. Following the identification of instruments that limit the risk for abuse of the morals and order exceptions, the article will turn to the scope-related aspect regarding the justifiability of ‘extraterritorial’ measures.

A Gambling Paradox: Why an Origin-Neutral “Zero-Quota” is Not a Quota Under GATS Article XVI

In US—Gambling, the Appellate Body held that an origin-neutral prohibition on remote gambling (which is how they mostly viewed the United States law) was “in effect” a “zero-quota”, and that such a “zero-quota” violated GATS Article XVI:2. That holding has been widely criticized, especially for what critics refer to as the Appellate Body’s “effects test”. This article argues that the Appellate Body’s “in effect” analysis is not an “effects test” and is not the real problem. The real mistake is regarding a so-called “zero-quota” as a quota under Article XVI. That is inconsistent with the ordinary meaning of the word “quota” in such a context; it is at odds with the object and purpose of Article XVI; and it is likely to reduce Members’ willingness to make concessions.

The meaning of ‘necessary’ in GATT Article XX and GATS Article XIV: the myth of cost–benefit balancing

AbstractConventional wisdom tells us that in Korea–Beef, the Appellate Body interpreted the word ‘necessary’ in GATT Article XX to require a cost–benefit balancing test. The Appellate Body is supposed to have applied this test also in EC–Asbestos, US–Gambling (involving GATS Article XIV), and Dominican Republic–Cigarettes. In this article I demonstrate, by detailed analysis of the opinions, that the Appellate Body has never engaged in such balancing. They have stated the balancing test, but in every case they have also stated the principle that Members get to choose their own level of protection, which is logically inconsistent with judicial review by cost–benefit balancing. And they have decided every case by reference to the ‘own level of protection’ principle. The Appellate Body is right not to balance. Balancing is not authorized by the treaty texts, and it is not needed to prevent inefficient harm to foreign interests.

The GATS and internet-based services: between market access and domestic regulation

The General Agreement on Trade in Services (GATS) has attracted much attention in public and academic debate. The aim of this article is to analyse the application of the GATS to internet-based services, thus providing a lens through which important issues concerning the GATS can be highlighted. This article reviews the far-reaching implications of the recent US—Gambling dispute for the regulation of (internet-based) services. It argues that World Trade Organization Members need to make a greater effort to delineate the key GATS obligations (market access, national treatment, and disciplines on domestic regulation) in order to provide national law- and policy-makers and trade negotiators with more legal certainty and predictability in the application of the GATS.

Highway XVI re-visited: the road from non-discrimination to market access in GATS

The GATS (General Agreement on Trade in Services) is a highly complicated legal instrument and prone to various interpretations because of the embedded ambiguity. It should not come as a surprise that in the context of all disputes concerning services, WTO panels and the Appellate Body reached diametrically opposite conclusions on the same issues. Un-appealed panel reports, on the other hand, have not been welcome either. One of the major, if not the major, issue is the legal relationship between Arts. XVI and XVII GATS, which regulate market access. The manner in which this relationship has been interpreted inescapably leads to constructing the GATS as a move beyond negative integration. This is at odds with the intent of the founding fathers, the letter and the spirit of the GATS itself. Subjecting Art. XVI to Art. XVII GATS guarantees respect of the negative integration character of GATS. It thus avoids internationalizing issues that WTO Members want to keep in their domaine reservé. Counter-intuitively probably, it allows for more trade liberalization. Using the unfortunate US–Gambling report as an example, this report suggests an approach to understanding Art. XVI as a sub-set of Art. XVII GATS.

Don’t Gamble with GATS—The Interaction between Articles VI, XVI, XVII and XVIII GATS in the Light of the US—Gambling Case

Don’t Gamble with GATS—The Interaction between Articles VI, XVI, XVII and XVIII GATS in the Light of the <i>US—Gambling</i> Case

The Internet, cross-border trade in services, and the GATS: lessons from US–Gambling

The rapid development of the Internet has led to a growing electronic cross-border delivery of services. While the WTO negotiations have not caught up to the reality of such service trade, the first GATS case dealing with the Internet, namely ‘United States – Measures Affecting the Cross-Border Supply of Gambling and Betting Services’, has advanced matters. This paper distils the substantive conclusions of the case and remaining questions in relation to Internet-supplied services and certain core concepts of the GATS. Moreover, it sheds light on the case's implications for the services negotiations under the ongoing Doha Development Agenda. It concludes that the second ever GATS case has provided an encouraging set of answers to the unresolved questions of the WTO's Work Programme on E-Commerce, mainly confirming the applicability of GATS commitments to electronically supplied services and shaping the concept of technological neutrality. While more work or dispute settlement cases are necessary to clarify the remaining questions, the rulings have paved the way for the GATS to be a more effective discipline for cross-border (electronic) trade. The paper also explains that a ‘chilling effect’ of the rulings on the Doha services negotiations is not warranted.

FROM DISABLING TO ENABLING THE PUBLIC INTEREST: NATURAL TRANSITIONS FROM GAMBLING EXPOSURE TO ADAPTATION AND SELF‐REGULATION

FROM DISABLING TO ENABLING THE PUBLIC INTEREST: NATURAL TRANSITIONS FROM GAMBLING EXPOSURE TO ADAPTATION AND SELF‐REGULATION

The political economy of gambling regulation

AbstractThis paper presents an interest group model of gambling regulation and applies it to major changes in the regulation of US gambling markets. Gambling markets are among the most restricted and politicized markets in the American economy, yet economists interested in the economics of regulation have paid them little attention. Applying the economic theory of regulation to gambling markets can lead to greater understanding of current public policy. In addition, this application may shed light on the discipline itself, as to its ability to explain recurrent fluctuations in the extent of regulatory intervention over long periods of time. Broadly speaking, the interest group model is consistent with changes in the extent of regulation, including the recent period of liberalization and consequent growth in gambling. Copyright © 2001 John Wiley &amp; Sons, Ltd.