The debate about how online gambling affects the economy is an ongoing debate, but there is no mistaking the fact that online gambling does affect the economy.
If you take a look at people that gamble online recreationally, then they may lose some money online gambling. Since internet gambling is technically illegal in the United States most people will gamble at an online casino that is based in another country. Any profits these casinos make from players in the United States helps to boost the economy of the country in which the casino is licensed. On the other hand if you win money online then you help bring more money into the economy of the country in which you live from the online casino games.
Oftentimes most studies related to internet gambling and the affect it has on the economy is often skewed by people who wish to show that internet gambling is either good or bad for the economy. Instead of simply trying to decipher the statistics researchers tend to put forth their own opinion when it comes to internet gambling and whether it is good for the economy or bad.
When poker games at live casinos became legal in California it led to an industry that had previously been played in the backrooms of bars illegally. When California legalized poker rooms it was able to profit financially from the players who previously played illegal “underground” poker games. In addition the legal poker rooms brought in more players, tourists, and also helped to increase the local economy by having the hotels and restaurants in the area staying fuller from people who visit to play in the legal California poker rooms.
No longer did poker players in California have to drive to Las Vegas to play poker. Now poker could be played in their backyard and this helped more money to stay in California as opposed to being spent in Las Vegas. Another major benefit that California experienced was the numerous jobs that were created both directly and indirectly by the newly legalized poker rooms in California.
Cases such as these help to prove that legalized gambling promotes economic growth, however the situation is a lot less clear when it comes to online gambling. If people play online poker then it would seem that it would definitely promote economic stability in the area where the money flows to. If a professional is able to earn $50,000 a year playing online poker then the area where the professional online poker player lives would benefit from his earning. The question comes from how the money flows. If the online professional earns $50,000 and other people in his area lose $100,000 a year does it really promote economic stability?
What we know for sure is that the countries that legally license online casinos are able to benefit by having an increased economy. The people who invest in and own the online casinos make money so where they live tend to have an improved economy that is directly related at least in part to online gambling.