Lottery is a form of gambling in which players pay for tickets, select groups of numbers between one and 59, and win cash prizes when the numbers they choose match those randomly drawn by machines. Historically, the drawing of lots for ownership or other rights has a long history (it is recorded in the Bible). In modern times, state governments have used lotteries to raise money for public works projects and subsidized housing blocks, to distribute units in a monopoly township, and to fund scholarships at colleges.
Since New Hampshire initiated the modern era of state lotteries in 1964, they have sprung up all over the country. State lotteries generally follow a similar pattern: the government sets up a monopoly and a public agency or corporation to run it; a small number of relatively simple games are offered initially; and, due to constant pressure for additional revenue, the lottery gradually expands in size and complexity.
A key to the success of lottery is that the state government argues that proceeds from the game will benefit a specific public good. This argument is most effective in economic downturns, when states must find ways to cut spending or increase taxes; but it also wins broad support in other times. In fact, studies have shown that the popularity of a state’s lottery is unrelated to its objective fiscal condition. In addition, the lottery appeals to certain specific constituencies: convenience store operators; lottery suppliers (heavy contributions to state political campaigns are often reported); and teachers (in those states where revenues are earmarked for education). These groups help fuel lotteries’ widespread acceptance and success.