Gambling is an activity where people stake something of value, such as money or possessions, for the chance to win more than they lose. It is a form of entertainment that involves risk and uncertainty, and it can be addictive. While most people enjoy gambling as an enjoyable social activity, some become seriously involved and experience adverse personal, family, and financial effects.
Gambling has been linked to a variety of negative impacts, such as addiction, family disruption, increased crime, and reduced productivity and health and well-being. While most of these impacts are related to pathological gambling, they can also affect nonproblem gamblers and result in societal costs. Moreover, gambling has been associated with positive effects, such as social integration and community cohesion. These positive effects, however, have been largely overlooked.
Many researchers have focused on the monetary and financial costs of gambling, while neglecting the social and psychological costs. The aim of this article is to combine and synthesize the literature on the positive and negative impacts of gambling to form a comprehensive model. The model can serve as a framework for structuring future research on the subject.
Some of the key elements of this model are as follows: (1) The personal level externalities include invisible individual costs, such as a decrease in self-esteem or loss of social capital and the negative effects on a gambler’s relationships. (2) The interpersonal level externalities are a direct consequence of gambling and include the financial strain and stress on family members, who may seek help or treatment for their loved one’s problem gambling. (3) The community/society level externalities are a direct consequence of the gambling industry and include the cost of a deteriorating social fabric and increase in property prices and living expenses.
While some researchers have focused on the economic cost of gambling, others have taken a public health approach, which recognizes the benefits and harms of the activity. The advantage of using a public health approach is that it examines all types of gambling and includes both positive and negative impacts.
Another way to avoid gambling addiction is to set a time limit for yourself before you begin gambling. It is important to decide how much you want to spend, and then leave when that amount has been reached, whether you are winning or losing. You should also not gamble with money that you need to pay bills or for daily expenses. Also, make sure that you balance gambling with other activities that you enjoy.
If you are worried about your loved one’s gambling habits, it is important to remember that they did not choose to be addicted. They probably started gambling for coping reasons — to forget their worries, feel more confident, or because they were feeling depressed. This does not absolve them of responsibility, but it can help you understand why they continued to gamble even after they began to lose money. In addition, the more they bet, the higher their losses are likely to be, because they are multiplying their risks.