Primer: Sports Betting
In 1931, gambling was legalized in Nevada in order to combat the severe effects of the Great Depression, which included sports betting. In 1992, President George H.W. Bush signed the Professional and Amateur Sports Protection Action (PASPA), which outlawed sports betting in states which did not already allow it, essentially making Nevada the official state for sports betting with a handful of other states allowing sports lotteries. In May 2018, SCOTUS repealed PASPA in Murphy v. The National Collegiate Athletic Association, arguing that it violated the 10th Amendment and the anticommandeering doctrine. Since then, many states have adopted varying degrees of legality of the practice, while it remains completely illegal in 12 states such as California and Texas. Additionally, the legal age for sports betting differs by state; it’s either 18 or 21. Illinois allows both in-person and online betting for those 21 and over.
Many states have regulatory committees that oversee sports betting. For example, the New York Gaming Commission, Illinois Gambling Board, and Massachusetts Gaming Commission oversee sports betting in their respective states, allowing for tax collection and other benefits. New York has collected $3B in taxes and licensed NY operators, such as FanDuel and DraftKings, have earned nearly $6B in revenue. Supporters of sports betting have argued that the revenue earned funds common goods, such as public education, and increases viewership and fan engagement for the sports industry. Additionally, legalization ensures safe, government regulated betting, with concrete rules attempting to establish fair and ethical operations.
However, sports betting has negatively impacted many participants, with some developing severe gambling addictions. The national council on problem gambling reports that 2.5 million Americans experience a severe gambling addiction, with an additional 5-8 million having a mild to moderate problem. Almost 40% of sports bettors are below 35, and increasing popularity of online platforms and apps leads to early exposure to gambling. The majority of sports bettors are young, wealthy, white males. Also the majority of bettors continue to do it illegally, on purpose or accidentally. According to the American Gaming Association, only 41% of bettors know that betting with a bookie is illegal. Athletes have also reported receiving death threats and other forms of harassment from dissatisfied bettors, complaining that the relationship between fans and athletes has deteriorated with the proliferation of sports betting.
Come join our debate this Monday at 7pm in Scott Hall!
"Sports Betting at a Las Vegas Casino" by G0SUB is licensed under CC BY-SA 2.0.