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The Effect of Recreational Gambling on Health and Well-Being

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Abstract

The relationship between gambling and health has important economic and public policy implications. We develop causal evidence on this relationship exploiting regional variation in access to legal gambling. Empirical models treat gambling as an endogenous regressor in explaining variation in health outcomes. Results from instrumental variable and bivariate probit models show recreational gambling has no or a negative impact on the probability of having certain chronic health conditions and a positive impact on life satisfaction. Past research generally found a positive association between problem gambling and adverse health outcomes. The generation of some positive health benefits provides important context for the expansion of legal sports betting in the USA following the repeal of the Professional and Amateur Sports Protection Act in 2018.

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Funding

This research was funded by the Alberta Gaming Research Institute, Grant No. 52.

Author information

Authors and Affiliations

  1. College of Business and Economics, West Virginia University, P.O. Box 6025, Morgantown, WV, 26506, USA

    Brad R. Humphreys & Jane E. Ruseski

  2. School of Public Health, University of Minnesota, 15-200 Phillips-Wangensteen Building, 420 Delaware Street S.E., Box 729, Minneapolis, MN, 55455-0392, USA

    John A. Nyman

Authors
  1. Brad R. Humphreys
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  2. John A. Nyman
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  3. Jane E. Ruseski
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Correspondence to Brad R. Humphreys.

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Appendices

Appendix 1: Results for Recreational Gamblers

See Tables 6, 7, 8, 9, 10, 11, 12, 13, 14, 15, 16, 17, 18, 19, 20, 21, 22, 23 and 24.

Table 6 Marginal effects: single-equation probit for health and well-being
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Table 7 Marginal effects: single-equation probit for chronic conditions
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Table 8 Coefficients: IV probit 1st stage linear probability model
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Table 9 Marginal effects: IV probit, 2nd stage health outcome equation for health and well-being
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Table 10 Marginal effects: IV probit, 2nd stage health outcome equation for chronic conditions
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Table 11 Coefficients: bivariate probit reduced form gambling equation for health and well-being
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Table 12 Coefficients: bivariate probit reduced form gambling equation for chronic conditions
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Table 13 Marginal effects: bivariate probit, structural health equation for health and well-being
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Table 14 Marginal effects: bivariate probit, structural health equation for chronic conditions
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Appendix 2: Results for At Risk Gamblers

Table 15 Marginal effects: at risk gamblers
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Table 16 Marginal effects: single-equation probit for health and well-being
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Table 17 Marginal effects: single-equation probit for chronic conditions
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Table 18 Coefficients: IV probit 1st stage linear probability model
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Table 19 Marginal effects: IV probit, 2nd stage health outcome equation for health and well-being
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Table 20 Marginal effects: IV probit, 2nd stage health outcome equation for chronic conditions
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Table 21 Coefficients: bivariate probit reduced form gambling equation for health and well-being
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Table 22 Coefficients: bivariate probit reduced form gambling equation for chronic conditions
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Table 23 Marginal effects: bivariate probit, structural health equation for health and well-being
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Table 24 Marginal effects: bivariate probit, structural health equation for chronic conditions
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Humphreys, B.R., Nyman, J.A. & Ruseski, J.E. The Effect of Recreational Gambling on Health and Well-Being. Eastern Econ J 47, 29–75 (2021). https://doi.org/10.1057/s41302-020-00181-5

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  • DOI: https://doi.org/10.1057/s41302-020-00181-5

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