If you get into a debate about whether gambling should be legal or not, then the other person might ask you why exactly you want it to be legal other than the fact that you want to play in peace without having a fear of going to jail. In that case, your first logical argument should be the amazing impact it can have on a country’s economy. How? In this article, we will talk about why gambling should be legalized and how it benefits economies.
Legalizing Gambling Will Allow the Government to Impose Taxes on Casinos
In countries where gambling is legalized, there are still many casinos that are running in secret. There might only be a few physical casinos, but loads of online ones. Moreover, just because something is illegal doesn’t mean people won’t do it. As a result, these casinos are earning a huge amount of money every year through their players.
In every casino, there is a house edge. Regardless of whatever is advertised, the house edge is usually always in the casino’s favor. This is why the amount they earn on a regular basis is ridiculously high; especially if they have a lot of players playing a lot of games and buying the promotional offers and VIP memberships. However, though these casino owners earn so much money. They do not have to pay even a single penny of tax on them. “Tax the rich” is quite a popular slogan in this highly capitalistic 21st century. The thing about imposing taxes is that it can’t be imposed on something that is illegal. The government cannot mooch off money from an industry they have themselves banned. However, with the amount of money the gambling industry makes on a daily basis, taxing them could mean a fortune for the government.
The casino industry can actually make a significantly huge contribution to the Gross Gaming Rate or GGR of a country. For example, where gambling is legalized in France, the GGR is as high as 83.5 percent. However, it also depends on the amount of taxes imposed on the industry, as it is only about 50% in the UK. Depending on the financial condition of a country, the required amount of taxes can be imposed for the best results.
Legal gambling will benefit the economy by creating more job opportunities
Another great economic benefit of legalizing gambling is the huge amount of job opportunities it will create. Because the casino industry is huge, the number of jobs and the kind of jobs are also very large and diverse. The number of jobs created will be amazing, from people who work as waiters and waitresses inside a casino to engineers specifically in charge of designing slot machines.
And these won’t be just other low-wage jobs either. Since the casino industry is rich in general, the jobs here are also very high-quality jobs with fairly good wages, even for minor jobs. In a 2017 study of Oxford University, it was found out that these jobs will contribute between $6 billion and $7.5 billion to the total annual wages. Casino hosts, for example, can earn up to $10,065 to $209,666 a year in the US, with a median salary of $37,952, which is a crazy good amount!
According to another report, if gambling is legalized entirely in a country; it can create as many as between 125,000 jobs to 152,000 jobs. In fact, a legalized and regulated gambling system in a country can add up to $2? 9 billion to the annual profit of casinos nationwide by benefiting those that are going bankrupt all over the country.
The same study from Oxford University further revealed that the legalization of gambling could contribute between $11.6 billion to $14.2 billion to the USA’s gross domestic product or GDP.
This amount will be smaller for smaller countries too. However, it would be enough compared to the population and the financial condition. It also depends on the tax rates. Moreover, the creation of these job opportunities will ensure an average salary of roughly $48,000 for a typical worker in the gambling industry. This will significantly increase the Per Capita Income (PCI) of a country. It will increase the living standards in many different ways. The country might even reach financial self-sufficiency in the long run.
The tourism industry of a country will be benefited from legal gambling
Since casinos are still illegal in many countries, a lot of people who can afford trips abroad but don’t want to risk going against the law travel to countries where it’s legal just to gamble. Sometimes they come to those countries on vacations. They choose casinos as one of the spots they want to tour and try out. Others who are in love with the hobby of gambling simply travel to different countries for different casinos. They would prefer to gain experience and learn new tricks from fellow players.
As a result, good casinos become a hub for tourists who either want to play casino games while on vacation. But also, simply want to try visiting a famous spot. Casino heavens like Las Vegas and Macau get millions of tourists every year to visit their famous mega-casinos. They are generating huge revenue for the tourism industry.
By benefiting tourism, legal casinos also benefit the small shops and restaurants surrounding them. Since a lot of people come to visit a casino, the restaurants and shops surrounding it get more sales. This again benefits the economy on an individual level as well as on a national level.
The economic impact of legal gambling during the pandemic
During the COVID-19 pandemic, a lot of land casinos had to shut down. This is because of health restrictions since it is nearly impossible to maintain social distancing; and 100% hygiene inside a land casino. That’s when online casinos rapidly came to the front of the picture and became popular. People could play from home and still get the real experience. For countries where gambling is legal, they didn’t face any significant financial loss; by not being able to tax the land casinos for months on end. This is because they could still tax the online casinos. This was another huge positive impact of legalized gambling on the economy.
In conclusion, gambling should be legalized because of the great economic benefits it can bring to a country. So what are you waiting for? Head over to Epic Win for some e wallet slot game Malaysia free credit today and enjoy some simple fun games!