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Pathological Gambling: A Critical Review (1999)
Commission on Behavioral and Social Sciences and Education (CBASSE)

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. "7: Organization and Technology of Gambling." Pathological Gambling: A Critical Review. Washington, DC: The National Academies Press, 1999.

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sales and determine whether a long-odds game is feasible to implement in states like Delaware with relatively small populations. Lyons and Ghezzi's (1995) time series analysis of Oregon's and Arizona's lotteries is one of the few quasi-experimental studies showing how these preferences interact with changes in technology. The authors showed that Oregon's lottery was modified five times and Arizona's four times from 1985 to 1991. Each modification resulted in lower odds of winning and/or a bigger jackpot. On one hand, reducing the odds was unrelated in either state to changes in betting, suggesting that people like low stakes and do not discriminate different odds or changes in the odds when the odds are small anyway (see also Waerneryd, 1996; Huber et al., 1997). On the other hand, increasing the jackpot was strongly related to increased betting. Betting also increased when lotteries were drawn twice weekly instead of weekly, which could be explained either by increased opportunity to play or by reduced risk aversion with more familiarity (Rachlin, 1989). Sales trends suggested that ever-larger jackpots were required to sustain previous levels of play.

Lyons and Ghezzi's (1995) time series study strongly suggests that gambling can be manipulated by lottery organizations through adjustments of lottery structure and rewards. However their study did not examine all aspects of the game environment. For instance, Orgeon has added instant scratch-off numbers games, keno, video poker, sports betting, and the multistate Lotto American game. Both states border Nevada and California, which offer competing products. The behavior of the Oregon and Arizona lottery commissions suggests strongly that lottery organizations model one another in devising competitive market strategies; hence changes in the environment of gambling arise from interstate as well as intrastate competition. Advances in telecommunications and the spread of Internet-supported gambling suggest that gambling is becoming a global business, responsive to competitive pressures across the world.

"Stimulus" Context of Games

A dimension of games that has not received much research attention is the physical and informational environment in which

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