gambling in alberta - Research Services - University of Lethbridge

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Infrastructure Costs Business Starts and Failures Business Revenue The amount of revenue allocated by various levels of government to support the infrastructure needed to service new gambling facilities (i.e., road maintenance, utilities, fire services, police services). This does not include regulatory services or services specific to problem gambling. The number of new businesses as well as business failures (commercial bankruptcy) associated with gambling introduction. Certain businesses should receive particular attention because research has shown them to be more likely impacted by gambling introduction. Specifically, these are other forms of gambling (i.e., bingo, horse racing, lotteries); the hospitality industry (i.e., hotels, restaurants, lounges); the construction industry; pawnshops; cheque cashing stores; horse breeding and training operations; tourism; and other entertainment industries. Changes in overall business revenue/sales in industries that are typically affected by the introduction of gambling. This does not include revenue received by the new forms of gambling. Personal Income Changes in average personal income or rates of poverty associated with gambling introduction. Property Values Changes in property values in areas proximate to new gambling venues. Problem Gambling Crime Employment Socioeconomic Inequality SOCIAL IMPACTS (i.e., impacts that are primarily non-monetary in their nature) Changes in the prevalence of problem gambling and the main indices potentially associated with problem gambling (i.e., personal bankruptcy rates, divorce rates, suicide rates, treatment numbers). There are also monetary costs associated with changes in problem gambling that should be tabulated (and included in the Economic Impact section). Specifically, these are the amount of money spent on a) treatment and prevention; b) policing, prosecution, incarceration, and probation for gambling-related crime; c) child welfare involvement for gambling-related family problems; and d) unemployment and welfare payments and lost productivity because of gambling-related work problems. Change in the rate of crime and gambling-related crime. This would include any observed decreases in illegal gambling with the introduction of a legalized form. The number of full and part time jobs that are directly or indirectly created as a result of gambling introduction and the percentage of the general workforce that this represents. Evidence that the introduction of gambling has a differential financial impact on people of different socioeconomic levels (e.g., potentially making it more or less ‘regressive’). Leisure Activity Changes in leisure behaviour associated with gambling introduction. Public Attitudes Quality of Life/Public Health/Social Capital/Values Change in public attitudes associated with gambling introduction. This could include changed attitudes about gambling (e.g., perceived benefits/harms), or changed attitudes about government or the role of government for allowing/providing gambling, etc. Change in the general quality of life, state of public health, societal interconnectedness, societal values, and related indices. These indices are often difficult to measure and also difficult to attribute to the introduction of gambling. Nonetheless, they are relevant impacts if they exist, and if they can be captured. 22
Again, other ways of organizing and reporting these impacts are possible and may be better suited for different purposes. Because of the importance of First Nations gambling in Alberta, in the present report impacts are organized according to sector: Government; Charity Groups; Private Operators; Society (i.e., general Alberta populace); and First Nations. Avoid Applying Arbitrary Monetary Values to Impacts that are Non-Monetary in Nature As mentioned earlier, it is a mistake not to capture social impacts that do not have significant monetary consequences. However, it is also a mistake to try to capture them within a costbenefit economic framework by applying an arbitrary monetary value to them. This approach is an overextension of an economic worldview that fails to recognize that the true nature of the impact is largely non-monetary/economic in nature. In most cases, social impacts are best quantified and reported simply by means of percentage change in the variable and/or the actual number of people impacted (e.g., % change in rate of problem gambling, % change in crime, change in pattern of leisure behaviour, etc.). Create a Profile of the Economic and Social Impacts The advantage of a common metric (e.g., money) is that it potentially allows for the combination of all impacts into an overall aggregate value. However, as mentioned, this approach is problematic because of a) difficulties applying monetary values to many social impacts, b) the need to construe everything as either a cost or benefit, c) the inappropriateness of using money as a way of characterizing the nature and magnitude of some social impacts (e.g., suicide). Thus, in most cases the best way of treating these impacts is to simply list them and to create a profile of impacts. For most social impacts, reporting the percentage change in the variable and/or the percentage of people impacted is most descriptive. For many of the economic impacts a monetary value can be used to quantify the magnitude of the effect within each impact area. There can also be value in aggregating the monetary amounts within and/or across economic impact areas. Apply Basic Economic Principles to Evaluate the Positive or Negative Nature of the Economic Impacts One of the critiques of many socioeconomic approaches to gambling is that they fail to adequately consider important economic principles in judging the overall impacts (Walker 2003, 2008a, 2008d; Walker & Barnett, 1999). For example, several costs of gambling in the Anieski & Braatan (2008) framework (e.g., theft, unemployment, costs of treating problem gamblers) are unlikely to result in any real reduction in the economic wealth within a society/jurisdiction; rather, just transfers of wealth within society (Eadington, 2003; Walker, 23
Page 1 and 2: Plant fertilizer 2011 GAMBLING IN A
Page 3 and 4: Citation Williams, R.J., Belanger,
Page 5 and 6: AMOUNTS, ORIGINS, AND RECIPIENTS OF
Page 7 and 8: ABSTRACT At a provincial level, the
Page 9 and 10: Alberta is estimated to have 3,755,
Page 11 and 12: than empirical in nature. Thus, the
Page 13 and 14: While the above described approach
Page 15 and 16: census. A supplemental Online Gener
Page 17 and 18: THEORETICAL APPROACH PROBLEMS WITH
Page 19 and 20: Aside from these practical issues,
Page 21: SOUND PRINCIPLES FOR CONDUCTING SOC
Page 25 and 26: 4. The transfer of wealth and chang
Page 27 and 28: Compare Changes to those Observed i
Page 29 and 30: to document prior gambling opportun
Page 31 and 32: Mid 1700s to late 1800s 1869 - 1892
Page 33 and 34: Cheating at gambling (Part XXVIII F
Page 35 and 36: 1924 Criminal Code amendment to s.9
Page 37 and 38: 1957 Western Canadian Racing Associ
Page 39 and 40: 1980s There is a major expansion of
Page 41 and 42: 1989 In June the Criminal Code of C
Page 43 and 44: 1997 AGLC allows the number of slot
Page 45 and 46: 2003 Federal agriculture minister m
Page 47 and 48: HISTORY OF EACH TYPE OF GAMBLING Th
Page 49 and 50: Number of Live Race Days per Year I
Page 51 and 52: Table 1: Total Raffle Licences per
Page 53 and 54: Table 2: Total Pull-Ticket Licences
Page 55 and 56: Table 3: Total Bingo Licences per Y
Page 57 and 58: Table 5: Total Bingo Events per Yea
Page 59 and 60: Table 6: Total Lottery Ticket Retai
Page 61 and 62: Video Lottery Terminals (VLTs) In A
Page 63 and 64: Table 8: Total Video Lottery Locati
Page 65 and 66: 1996 Slot machines and electronic h
Page 67 and 68: The main indices that speak to chan
Page 69 and 70: Table 12: Total Charitable Casino L
Page 71 and 72: REGULATORY AND ORGANIZATIONAL HISTO
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HISTORY OF FIRST NATIONS COMMERCIAL
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CURRENT REGULATION, AVAILABILITY, A
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aggregate value of all tickets sold
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ALBERTA GOVERNMENT GAMBLING The Cri
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CASINOS Traditional Casinos Casinos
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percentage of table game revenue re
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Figure 15. Location of Current and
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HORSE RACING Horse racing is the on
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Bingo Lotteries and Instant Win (Sc
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AMOUNTS, ORIGINS, AND RECIPIENTS OF
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Another way of looking at the overa
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increase has occurred since the ear
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WHERE IS THE MONEY COMING FROM? As
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Figure 20: Proportion of Alberta Ne
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Origin of Net Gambling Revenue by D
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Table 18: Past Year Gambling Partic
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EGM Players Table 20 shows reasonab
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Table 21: Percentage of Each Type o
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winsorized then 75% of reported exp
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Table 22a: Demographic Profile of t
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patronage and revenue. Attendance f
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However, less important than the ac
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Because of the paramount importance
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Actual Revenue Another source of da
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Figure 25: Average Ticket Lottery R
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WHERE IS THE MONEY GOING? The final
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industry. The proportion of gamblin
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Table 27: Grants Awarded by Alberta
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since 1999; 47% of all revenue in 2
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IMPACTS OF LEGAL GAMBLING IMPACTS O
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‘addicted to gambling revenue’.
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Several factors influence the perce
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There are also some important lesso
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Figure 30: Proportion of Total Net
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Figure 31: Number of Charities per
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IMPACTS ON SOCIETY The citizens of
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Number of Alberta Gambling Employee
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Table 34: North American Industry C
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Table 35: Importance of Gambling as
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percentage of the population (i.e.,
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Table 37: Household Past Year Repor
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40% 35% 30% 25% 20% 15% 10% 5% 0% F
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Although Albertans are satisfied wi
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A final attitude question asked in
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Figure 41: What sort of overall imp
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Prevalence Problem Gambling and Rel
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Williams & Volberg (2010) also calc
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Features of Problem Gamblers The ty
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significant change in reported casi
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Table 43: Gambling and Problem Gamb
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their shared variance is taken into
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Treatment Numbers and Costs Treatme
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The only readily available figures
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OSB reports there were a total of 7
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Table 49: Consumer Insolvency Rates
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Another approach is to establish th
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that gambling had resulted in separ
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Applying these prevalence rates to
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gambling-related illegal acts and 8
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It is important to remember that th
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Table 52: Criminal Charges Laid by
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early 1990s, that was followed by a
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Table 54: Correlation between Crime
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Infrastructure Value The private se
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With respect to this first possibil
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increase in the comparison periods;
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Census Division Table 57: Business
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versus 2.2%). Commercial insolvency
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thinking in an interpretative act;
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The Edmonton mayor indicated he bel
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Several community representatives a
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daytime usage ... if it’s shoppin
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Increased crime was a related issue
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IMPACT ON FIRST NATIONS The impact
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Table 59: Use of First Nations Char
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Table 60: Distributions to Differen
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Table 60 illustrates that the large
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McKay, Heart Lake and the Athabasca
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Geographical Distribution As seen i
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Figure 51: Average Per Community FN
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Employment and Income Impacts of Fi
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etter skilled individuals in the co
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Problem Gambling A recent review of
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Table 65: Prevalence of Problem Gam
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$500 chip. One municipal official c
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Both the increased affluence and th
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The Enoch Cree Nation has to pay ba
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The fire department also represents
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chances. One official stated that t
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With the exception of 2006-2007, th
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Post-Script: Barriers to Participat
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(Indian Act, 1985). The latter coul
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SUMMARY Research Approach The prese
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1% (or less) of Alberta GDP since t
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can be said of charitable gambling
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Because revenue from charity casino
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Socioeconomic Inequality Alberta ga
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Despite the relatively low rates of
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supplies/equipment or to reinvest i
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Some of these sentiments tend to su
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communities highlight the casinos a
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ASSESSMENT OF THE OVERALL IMPACTS O
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2. The economic activity increases
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OVERALL SOCIAL IMPACTS Legalized ga
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OVERALL IMPACTS At a provincial lev
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however, that the potential for bri
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REFERENCES Abbott, M.W., Williams,
Page 287 and 288:
Centre for Social and Health Outcom
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Jackson, D. (2010). VLT critic call
Page 291 and 292:
Purdy, C. (2004). Band stakes its f
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Walker, D.M. (2008a). Challenges th
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2008 Survey APPENDICES Appendix A:
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General Population Targeted INELIGI
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are interested in the opinions of b
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PAST YEAR GAMBLING BEHAVIOUR GY1a.
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GY6a. In the past 12 months, how of
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Cash Casino - Red Deer (15) Jackpot
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GY10a. In the past 12 months, how o
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GY14a. In the past 12 months, what
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GP4. CPGI4/PPGM8b. In the past 12 m
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GP11b. In the past 12 months has ga
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GP16a. PPGM8c. In the past 12 month
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The following question only asked o
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TRIANGULATION (ONLINE PANEL ONLY) T
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Exact amount________________ (17) U
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2009 Survey The 2009 survey was als
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C11. Do you have pleasant memories
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SURVEY YEAR 1992 1993 1995 1996 199
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2008 2008 2009 2009 Williams, Belan
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1 Medicine Hat 2 Lethbridge 3 Fort
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8. In the past 12 months, have you
Page 335 and 336:
Appendix F: Alberta’s Economic Re
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7. A thorough due diligence investi
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