Gambling has long been a polarizing issue for legislators, but no other gambling industry is as equally loved and loathed as online poker. Some see digital slot machines bringing in money hand over fist. Others see it as a public health issue.
The question at hand is simply this: are online pokies a political goldmine or a time bomb? We will discuss the implications of politics on the casino industry now. For those not familiar with pokies, check out our explanation over here.
A Cash Cow for Governments
Internet pokie machines can provide a lucrative revenue stream. Any country that legalizes and regulates online gaming — including online pokie machines — usually becomes a haven for taxable income.
This “found money” can be spent on schools, hospitals and roads. In some places, it’s even funneled into worthy community projects, creating the image of a virtuous circle.
However, the promise of yet more dollars can mean we overlook the social consequences. While the governments rake in the bucks, there are fears they’re not doing enough to protect us.
The Social Costs of Online Pokies
Every time a $1 is earned through online pokies, there is a cost. The problem of gambling addiction should not be ignored. Flashing lights and the sound of coins can be enough to draw children in but give any adult a little bit of dopamine and a pretty picture, and they’ll be returned like a lab rat with a foot lever.
Political debates are split around this axis. Is the key to policy focusing on individual protection, or is it focusing on overall economic benefit?
There have been a number of studies into the association between online gambling, which found regions with easier online gambling saw a higher addiction rate. Forcing the government to regulate and potentially lose some revenue.
The Politics of Regulation
Online pokies regulation is no easy business. Lawmakers have to negotiate complicated compromises between well-meaning public health advocates and the cynical machinations of the gambling lobby.
Many governments have implemented measures like deposit limits, built-in rest periods, and restrictions on advertising. Others are content to allow the industry to police itself.
Election season usually provokes a more pointed discussion, with political parties robustly defending — or tearing down — their various attempts to strike a balance between freedom of choice and collective welfare.
A Double-Edged Sword
The argument over online pokies implicates a larger problem for the practice of politics: How to balance economic gains with the moral responsibilities of government.
While pokie revenue may fund much-needed wellbeing programs for the community, the social costs cannot be denied. Governments have to resolve the immediate goodness of their balance books with the overall well-being of the community.