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Lottery Spending: A Non-Parametric Analysis

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Listed:
  • Skip Garibaldi
  • Kayla Frisoli
  • Li Ke
  • Melody Lim

Abstract

We analyze the spending of individuals in the United States on lottery tickets in an average month, as reported in surveys. We view these surveys as sampling from an unknown distribution, and we use non-parametric methods to compare properties of this distribution for various demographic groups, as well as claims that some properties of this distribution are constant across surveys. We find that the observed higher spending by Hispanic lottery players can be attributed to differences in education levels, and we dispute previous claims that the top 10% of lottery players consistently account for 50% of lottery sales.

Suggested Citation

  • Skip Garibaldi & Kayla Frisoli & Li Ke & Melody Lim, 2015. "Lottery Spending: A Non-Parametric Analysis," PLOS ONE, Public Library of Science, vol. 10(2), pages 1-11, February.
    • Handle: RePEc:plo:pone00:0115730
    DOI: 10.1371/journal.pone.0115730
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    References listed on IDEAS

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    1. Charles T. Clotfelter & Philip J. Cook, 1989. "Selling Hope: State Lotteries in America," NBER Books, National Bureau of Economic Research, Inc, number clot89-1.
    2. Scott, Frank & Garen, John, 1994. "Probability of purchase, amount of purchase, and the demographic incidence of the lottery tax," Journal of Public Economics, Elsevier, vol. 54(1), pages 121-143, May.
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