Curriculum The Economics of Gambling
The Economics of Gambling
Why people gamble and who profits: the house edge, the gambler's fallacy, state lotteries, casinos in Goa and Sikkim, horse racing, the Public Gambling Act, skill versus chance, the 28% GST on online gaming, the 2025 ban on real-money games, problem gambling and a recap.
- The House Always Wins: The House Edge How casinos and betting operators build a mathematical edge into every game so they profit over many bets, and why expected value is negative for players. 📄 Read-aloud
- Why People Gamble: Behavioural Economics Why people gamble despite negative expected value, including the gambler's fallacy, near-misses, overweighting small probabilities and the thrill of risk. 📄 Read-aloud
- State Lotteries in India How some Indian states like Kerala, Punjab and Sikkim run lotteries to raise revenue, why lotteries are called a regressive tax, and the Lotteries (Regulation) Act of 1998. 📄 Read-aloud
- Casinos in Goa and Sikkim How Goa, Sikkim and Daman allow casinos, the economics of Goa's floating casinos on the Mandovi river, and debates over tourism versus social harm. 📄 Read-aloud
- Horse Racing: A Game of Skill? How betting on horse races is legal in India because the Supreme Court held in 1996 that it is a game of skill, and how tote betting works at race clubs. 📄 Read-aloud
- India's Gambling Laws How the colonial-era Public Gambling Act of 1867 still shapes India's gambling laws, why gambling is a state subject, and the resulting patchwork of rules. 📄 Read-aloud
- The Economics of Gambling: Checkpoint 1 Quick checkpoint - five questions on the house edge, psychology, lotteries, casinos and horse racing. 5 questions
- Skill Versus Chance How Indian courts separate games of skill like rummy from games of chance, the 1968 Satyanarayana judgment, and why this line mattered for online gaming firms. 📄 Read-aloud
- The 28% GST on Online Gaming How the GST Council in 2023 imposed 28% GST on the full value of bets in online gaming, casinos and racing, and the effect on companies and tax demands. 📄 Read-aloud
- The 2025 Ban on Real-Money Games How the Promotion and Regulation of Online Gaming Act of 2025 banned real-money online games in India, promoted e-sports, and hit fantasy and rummy companies. 📄 Read-aloud
- Problem Gambling and Its Costs How gambling addiction harms individuals and families, the social costs of debt, crime and mental health, and policy tools like self-exclusion and deposit limits. 📄 Read-aloud
- Gambling Around the World How other countries handle gambling, from Macau's casino economy and the UK's licensed betting to US sports betting legalisation in 2018, and lessons for India. 📄 Read-aloud
- Gambling and the Economy: Recap How gambling works as a business, how India regulates it, and a recap of the module. 📄 Read-aloud