So anyway ... Walking through casinos and looking for coffee 9 out of the last 11 mornings has got me thinking. I have no moral problem with gambling. In fact while in Vegas I lost 1,800 pennies and had a blast doing it. Usually I enjoy "disposing" my disposable income in other ways, but I have no problem with anyone gambling or any company that profits from providing a service that meets that demand. However the "inner economist" in me is concerned as Massachusetts begins to consider again our governor's proposal for 3 Massachustts casinos. Here's why.
In our brief history there is only one community that has enjoyed economic benefit from casinos and I was just there. Before there were casinos in Las Vegas, Las Vegas was one gas station. Every year since then, in every measurable way, the city has experienced economic growth. That's because money pours in from other communities. Not true with our local casinos. Money spent in local casinos comes from locals. When economists model how money behaves they observe that local money spent in local casinos has the same effect on a local economy as a tax. In other words the money leaves the local economy. The economic health of a community needs money to be spent over and over. The tip you leave a bartender turns into piano lessons for her daughter, which turns into a haircut for the piano teacher. To think a casino at the Mass border will stimulate the economy is myopic. All the dollars raised in job creation and taxes will come directly from piano lessons and haircuts.
Years ago I read a great book on the subject called "The Luck Business" which you can find if you click here:
2 comments:
Thanks for the B'day wish! Kyle and I celebrated our birthdays at the Red Sox /Yankees game on Friday night with Mitch and Mark. Kyle's best friend was in Florida so Dad kindly volunteered to go (on the Green line, no less).
The Sox scored early but the Yankees tied it up and then went ahead, 4 to 2. In the bottom of the 9th the Sox tied it up on a home run by Jason Bay. Extra innings! Finally in the 11th inning, Youkilis hit a walk off homer to win the game!
We had a real cheer leader in our section who led many rounds of "Let's Go Red Sox!" which we all joined in. I didn't think the image of Grandma Jean screaming "YANKEES SUCK!" was one I want my grandsons to remember so I refrained, even if they do (the Yankees that is.)
We will continue the B'day celebrations this weekend by going to Kyle's game and then to dinner at a restaurant of his choice. Now that he's 13 (!)I think Wendy's is off the list :-(
Your blog keeps getting better and better! Your older articles are not as good as newer ones you have a lot more creativity and originality now keep it up!
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