Casinos Likely to Earn Less if Minnesota Loss Limit Passes
Casinos in Minnesota have proved a vital source of state revenue, a fact that has led some state lawmakers to adopt the "why spoil a good thing?" approach, although the state is concurrently battling a compulsive gambling problem. In response to the problem gambling issue, the Minnesota state legislature is currently mulling over a bill that would limit gambling losses incurred in casinos to $500-a-day. Many supporters of casino gambling, however, fear that limiting spending in casinos will amount to revenue losses for casinos and consequently, the state.
Similar efforts launched by the state of Iowa were withdrawn in 1994, after the $200 daily loss limit allegedly forced two riverboat casinos to close their doors.
There is evidence that casinos rely on compulsive gamblers for significant percentages of profit. A national study demonstrated that problem gamblers, who make up just 2.5 percent of the general adult population, account for almost one quarter of all money sacrificed at casinos each year. Supporters of the proposed cap for casinos hope that instituting such limits will curb gambling problems. Critics, however, feel that the measure is futile, ultimately costing the state losses in casino revenue, while doing little to remedy the state's compulsive gambling problem.
OnlineCasino-News.com - 2005-05-07 13:07:15