Date of This Version
This paper considers the whether offering multiple lotto games within a state by joining a multi-state lottery increases total ticket sales compared to offering a single state game. The question is considered from two different perspectives, which both lead to the conclusion that states do tend to benefit from increased ticket sales overall by joining a multi-state lottery association. There is, however, a noted difference in the magnitude of that effect depending on the size of the average jackpots of the previously existing state games.
Working Paper Number
Matheson, Victor and Grote, Kent, "Gamblers’ Love for Variety and Substitution among Lotto Games" (2006). Economics Department Working Papers. Paper 69.
This article was published as: Matheson, V., Grote, K. (2007). Gamblers’ Love for Variety and Substitution among Lotto Games. Journal of Gambling Business and Economics, 1(2), pp.85-99.