News tagged with lottery
A lottery is a form of gambling which involves the drawing of lots for a prize.
Lottery is outlawed by some governments, while others endorse it to the extent of organizing a national or state lottery. It is common to find some degree of regulation of lottery by governments. At the beginning of the 20th century, most forms of gambling, including lotteries and sweepstakes, were illegal in many countries, including the U.S.A. and most of Europe. This remained so until after World War II. In the 1960s casinos and lotteries began to appear throughout the world as a means to raise revenue in addition to taxes.
Lotteries come in many formats. For example, the prize can be a fixed amount of cash or goods. In this format there is risk to the organizer if insufficient tickets are sold. More commonly the prize fund will be a fixed percentage of the receipts. A popular form of this is the "50–50" draw where the organizers promise that the prize will be 50% of the revenue. Many recent lotteries allow purchasers to select the numbers on the lottery ticket, resulting in the possibility of multiple winners.
The purchase of lottery tickets cannot be accounted for by decision models based on expected value maximization. The reason is that lottery tickets cost more than the expected gain, so one maximizing expected value should not buy lottery tickets. Yet, lottery purchases can be explained by decision models based on expected utility maximization, as the curvature of the utility function can be adjusted to capture risk-seeking behavior. More general models based on utility functions defined on things other than the lottery outcomes can also account for lottery purchase. In addition to the lottery prizes, the ticket may enable some purchasers to experience a thrill and to indulge in a fantasy of becoming wealthy. If the entertainment value (or other non-monetary value) obtained by playing is high enough for a given individual, then the purchase of a lottery ticket could represent a gain in overall utility. In such a case, the disutility of a monetary loss could be outweighed by the combined expected utility of monetary and non-monetary gain, thus making the purchase a rational decision for that individual.
This text uses material from Wikipedia and is available under the GNU Free Documentation License.
(AP)—The brother of a Chicago man poisoned with cyanide shortly after winning the lottery said Monday he is the family member who asked authorities to reconsider the initial finding that his sibling had ...
Diseases, Conditions, Syndromes Feb 12, 2013 | 1 / 5 (1) | 0
Results from recent studies show a growing number of high school students reportedly receive one or more lottery tickets or scratch cards as gifts. This, coupled with the increasing concern about adolescent problem gambling, ...
Psychology & Psychiatry Dec 12, 2012 | not rated yet | 0
(Medical Xpress)—Youngsters who receive instant lottery tickets as a gift tend to begin gambling earlier in life—a possible risk factor for more severe gambling disorders later, Yale School of Medicine ...
Psychology & Psychiatry Sep 24, 2012 | not rated yet | 0 |
Fifty secondary school children will debate the question 'If young people had more choice and control over the money spent on youth services, would they set up traditional youth centres?' Recent research at the University ...
Health Nov 04, 2011 | not rated yet | 0