The economic situation of casinos due to covid-19

The covid-19 is affecting different sectors of the world economy leading many businesses to close their doors due to solvency problems and causing an increase in the unemployment rate.

Gambling is also on this list and specifically the casinos that have been greatly affected by all these actions that have been carried out by governments because of the Coronavirus. From the quarantine decreed in many countries to the safe isolation. Faced with this situation, searching for the best online casino on the Internet has proved to be the best alternative for casino loyalists, who have discovered that this can be a much more accessible, easy and attractive alternative to continue enjoying their hobby in these times of crisis.

More users online due to Covid-19

Due to the pandemic, many users who used to gamble at physical casinos had to migrate to online gambling, a change that was very attractive and beneficial to both gamblers and online gaming companies.

The confinement has provoked different reactions in society. Many people are trying to occupy their minds and get away from the harsh reality, both economically and emotionally. Some were given to cooking, others to recording videos on Instagram and others found online gambling a way to entertain themselves. But where is the line between entertainment and vice?

For those who already had an addiction problem before the lockdown, the quarantine made the problem worse in that they were locked in with the enemy for 24 hours a day. According to reports from different gambling addiction centers, cases of gambling addiction could have increased during the Coronavirus quarantine.

What will happen now with the casinos?

No one knows. We’ll just have to wait and see how business recovers. Casino owners are projecting growth and recovery after the crisis caused by Covid-19 even though sales have not yet taken off as expected. After 3 long months of closing, great challenges and looking for new opportunities, the economic recovery seems to be slowly but progressively bearing fruit and encouraging for many.

Now, given the uncertainty that Coronavirus has caused around the world, we will have to wait and see what happens to physical casinos and online gambling platforms, how they adapt to the new measures and how the public responds. There is no doubt that the return of sports is helping many to return little by little to normal.

The relationship between casinos and the economy

Conducting an assessment of the effects caused by casinos on society is complicated by the many factors to be considered. The vast majority of these are related to economics, but others deal with quality of life and moral issues. Those who defend this sector of casino gambling, consider them as a part of the leisure and entertainment sector, like amusement parks or cinemas, theatres, etc.

Those who oppose them are not homogenous in their views. Some tend to disapprove of gambling on religious grounds, as it contradicts second-hand moral principles, hard work, and a sober life. Others simply resist an industry that has been associated with mobsters, artists, and corrupt politicians for much of its history. Some appeal that casinos provide a place for people prone to gambling addiction, who act impulsively.

The easy access to online casinos, they say encourages these people to gamble more, because being more difficult, they wouldn’t do it often. Banning the existence of casinos would be a way to protect people from their addictive personality.

According to studies done in the United States, four out of ten Americans do not support the existence of a casino in their own cities. Local citizens and politicians oppose casinos, for fear of increased traffic and crime. In addition, many of the state governments are in charge of the lotteries and do not want the competition from the casinos to take their money.

The real benefits of casinos

According to the report published by the American Gaming Association, communities that have casinos show high employment growth, both in casinos and in other related businesses, such as personal care stores, restaurants, tourist attractions and hotels.

The figures of this type of income amount to US$ 80 billion, in the casinos of the United States; with an additional entry of US$ 200 – US$ 250 billion, of indirect economic income.

Income from taxes and fringe benefits

For example, sports bookmakers, casinos and bingo halls, where people play for money, add to the global economy of cities and states.

Citizens living in communities with a casino often have the highest property values, as well as more employment opportunities, which in turn lend themselves to increased tax revenues, which can help maintain community infrastructure needs and well-funded community services; that is, the community has more funds available for its development.

Benefits versus Costs

There is no denying that there are some drawbacks in communities that have a casino.

Some businesses may suffer a drop in revenue if the casino has a boutique store or restaurant that competes directly with them from the surrounding area. Visitors to the casino are more likely to stay inside the casino complex, rather than go outside to visit other restaurants, shops and attractions.

People living in communities with a casino have suggested that the presence of a casino causes the crime rate to rise.

The rulers of many communities with casinos have felt an obligation to support people addicted to gambling and provide them with services and advice to be treated and helped.

In the end, the presence of a casino can be very beneficial to the community, and at the same time have disadvantages. For this reason, governments should take adequate precautions to prevent such social and economic problems.