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Gambling and the Economy

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Home/Resources/Resources for Safer Gambling During COVID-19/Gambling and the Economy

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Images of a globe, online gambling, and isolation

The relationship between gambling and the economy is complex and multifaceted. Historically, some jurisdictions have turned to gambling to stimulate economic growth.1 Gambling may also be viewed as a way for people to quickly make money in a time of economic recession.2 However, some research cautions that gambling may act as a ‘recessive tax’, having a disproportionate negative financial impact on those with low socio-economic standing.3

It is anticipated that the COVID-19 pandemic will have long-lasting economic impacts–causing a recession in the global economy4, 5 and increasing income inequality.6 During these times, policy makers may turn to gambling to stimulate the economy and the public may gamble with the hopes of improving their financial state. For these reasons, it is important to understand how gambling interacts with changes in economies.

We have curated recent evidence that may help our stakeholders make informed decisions regarding the relationship between gambling and the economic impacts of COVID-19.

 

Graphic showing the globe with arrows circling it  Key Resources

Do people spend more on luck-based gambling during recessions? (GREO Research Snapshot)

Gambling in the mist of economic crisis: Results from three national prevalence studies from Iceland (GREO Research Synopsis)

Economic recession affects gambling participation but not problem gambling (GREO Research Snapshot)

Social capital decreases the risk of problem gambling (GREO Research Snapshot)

The unequal effects of gambling and other sin taxes on low-income households (GREO Research Snapshot)

Problem gamblers tend to live in poorer areas in England (GREO Research Snapshot) 

Living in a disadvantaged neighbourhood may increase the risk of disordered gambling  (GREO Research Snapshot)

Social support from peers protects against the effects of relative deprivation on gambling disorder (GREO Research Snapshot)

Risk-taking is related to feeling deprived in comparison to other people (GREO Research Snapshot)

A policy framework to analyze the trade-off between government net revenue and social harm from gambling (GREO Knowledge Snapshot)

State revenues from gambling: Short-term relief, long-term disappointment (Rockefeller Institute of Government report) 

 

Want to learn more about gambling and the economy?

Search the Evidence Centre

Have a specific question about gambling and the economy? Reach out to the GREO team at info@greo.ca. 

COVID-19: News and Emerging Research

COVID 19: Events and Learning Opportunities


 References
1Walker DM, Sobel RS. Social and economic impacts of gambling. Current Addiction Reports. 2016;3(3):293-8. Available from: doi:10.1007/s40429-016-0109-8

2Wohl MJ, Branscombe NR, Lister JJ. When the going gets tough: Economic threat increases financial risk taking in games of chance. Social Psychological and Personality Science. 2014;5(2):211-7.

3Slutske WS, Deutsch AR, Statham DJ, Martin NG. Local area disadvantage and gambling involvement and disorder: Evidence for gene-environment correlation and interaction. Journal of Abnormal Psychology. 2015;124(3):606. Available from: www.ncbi.nlm.nih.gov/pmc/articles/PMC4573820/

4Baldwin R, di Mauro BW. Economics in the time of COVID-19. 2020. Available from: voxeu.org/debates/economics-time-covid-19

5Fernandes N. Economic effects of Coronavirus outbreak (COVID-19) on the world economy. SSRN; 2020. Available from: ssrn.com/abstract=3557504

6Khalidi JR. Inequality affects the Covid-19 pandemic. Khazanah Research Institute; 2020. Available from: www.krinstitute.org/assets/contentMS/img/template/editor/20200330_Articles_Covid_Inequality_v9.pdf

 

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  • Services
    • Funding Opportunities
    • Applied Research
    • Knowledge Products 
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  • Resources
    • Conceptual Framework of Harmful Gambling
    • Data Repository
    • Evidence Centre
    • Gambling from a Public Health Perspective
    • Prevention and Education Review: Gambling-Related Harm
    • Research to Inform Action Evidence Hub
    • Safer Gambling Evaluation Evidence Hub
    • Resources for Safer Gambling During COVID-19
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    • National Strategy to Reduce Gambling Harms in Great Britain
    • Academic Forum for the Study of Gambling (AFSG)
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