A report summarizing the results of an unprecedented 10-year gambling investigation in Massachusetts.

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Researchers at the University of Massachusetts Amherst have released a comprehensive 194-page report evaluating a decade of research into the social and economic impacts of the introduction of casino gambling in Massachusetts.
SEIGMA (Social and Economic Impacts of Gambling in Massachusetts) from Amherst College in Massachusetts is considered to be the most comprehensive study of casino impacts ever conducted. The report was presented to the Massachusetts Gaming Commission during a public meeting Thursday. It synthesizes findings from 55 interim reports and academic publications.
“We wanted to understand the impact of the decade we have been comprehensively reviewing and monitoring, with the aim of laying the foundation for considering future sports betting,” said Rachel Volberg, lead researcher. said the research professor. Majored in epidemiology at the School of Public Health and Health Sciences.
The SEIGMA study was conducted in 2013, two years before the first of three casinos opened in the Bay State: Plainridge Park (2015), MGM Springfield (2018), and Encore Boston Harbor (2019). It was started on.
“The Massachusetts Gaming Commission is committed to funding research that examines the impact of casinos and gambling on Massachusetts and guides policy decisions in the commonwealth,” said MGC Interim Chair Jordan. Maynard said. “The research produced by the SEIGMA team is impactful and essential to the comprehensive and growing research supported by MGC.”
The positive impacts that Volberg and his team identified were primarily economic. “We also identified a number of significant adverse effects,” she said. “And these were not primarily financial, as we expected.”
Positive direct impacts include employment opportunities, taxes and other income.
The three casinos cost a total of $2.8 billion to build and employed more than 8,000 full-time workers. The casino employs approximately 5,000 people and generates approximately $1.15 billion in gross gaming revenue and approximately $321 million in non-gaming revenue annually. State revenue from gaming taxes increased from $78 million in the 2016 budget year to $330 million in the 2023 budget year. Its revenue supports 12 funds, the largest of which goes to 351 municipalities in Massachusetts.
“Overall, the three casinos generated significant economic activity during both the construction and operational phases of the casinos,” said Mark Melnick, head of SEIGMA’s economics division. provided resilience during the recovery period.” A team from the Donahue Institute in Massachusetts.
The report points to one positive social and health impact: new recreational opportunities associated with casinos.
The negative impacts cited in the report are economic and social. Economically, approximately 75% of casino employees have left other full-time jobs, resulting in a loss of workforce in other areas. Additionally, only 39% of casino workers in the county earn a living wage, which is higher than typical wages in the lodging and food service sectors.
The report also noted that between 46% and 80% of casino users reported spending less on other goods and services, particularly restaurants and bars. “So (casinos) have a negative impact on other businesses in terms of where leisure money goes,” Volberg said.
Melnyk continued, “Companies in the recreation and leisure sector of the economy are constantly competing for consumers’ disposable income.While Massachusetts casinos are attracting new consumers from out of state, “It’s not surprising that we’re seeing some competition in both entertainment and entertainment.” customers in this industry. ”
Negative social and health impacts include increased vehicle traffic near casinos, accidents, impaired driving, a slight increase in certain crimes in and near casinos, and a “small but significant increase in illegal gambling across the state.” There has also been a significant increase.
One of the key findings from the 10-year study is that the prevalence of problem gambling has not shown a significant increase since casinos opened in Massachusetts. However, the report reveals that the proportion of casino revenue derived from problem and risk gamblers rose from 74% in 2013-14 to 90% in 2021-22.
“From our perspective, the biggest negative impact is that most of the revenue casinos generate comes from people who are at risk of or experiencing problem gambling.” Volberg said.
Based on the overall findings, the research team made recommendations including how to reduce the dependence of 90% of casino revenue on 10% of the population (problem gamblers or those at risk). did.
Overall, the number of casino users in Massachusetts appears to be decreasing, and attitudes toward gambling are becoming more negative, researchers found. The report also suggests that while the law allows for the licensing of additional casino facilities, Massachusetts may have reached casino saturation.
“In recent years, a significant percentage of Massachusetts residents believe that gambling has become too widespread,” Volberg said. “So the message to Congress would be to slow down the legalization of other types of gambling.”
More information: Report: 2024 Social and Economic Impact of Casinos on Massachusetts
Provided by University of Massachusetts Amherst
Citation: Report summarizes findings of 10 years of unprecedented gambling investigation in Massachusetts (October 25, 2024), https://phys.org/news/2024-10-decade-unprecedented- Retrieved October 25, 2024 from gambling-massachusetts.html
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