Lottery Sales and Per-capita GDP: An Inverted U Relationship
Maria João Kaizeler *
SOCIUS - Research Centre in Economic Sociology and the Sociology of Organizations, Rua Miguel Lúpi, 20. 1249-078 Lisboa, Portugal.
Horácio Crespo Faustino
ISEG , Rua Miguel Lúpi, 20. 1249-078 Lisboa, Portugal.
*Author to whom correspondence should be addressed.
Abstract
The main purpose of this study is to test the hypothesis that the relationship between per-capita sales and per-capita GDP is given by an inverted U. The paper considers that lottery sales increase together with increases in GDP up to a point where a country has reached a level at which the GDP is high enough and lottery sales become an inferior good and as a result, start to decrease. The results confirm the hypothesis, in addition to yielding other interesting findings: countries with higher levels of education sell fewer lottery products; lottery sales increase together with increases in the male to female ratio.
Keywords: Gambling, per-capita GDP, gender ratio, religion, education