The lottery is a way of raising money for a state or charitable cause by selling tickets with different numbers on them. When the numbers are drawn by chance, those with the tickets win prizes. Some states allow players to choose their own numbers, while others set the number groups and prizes. Lotteries have a long history and are popular worldwide.
The earliest lottery records date from the Chinese Han Dynasty between 205 and 187 BC, with keno slips found in the Book of Songs. A modern lottery involves paying for a chance to win a prize, which could be anything from cash to jewelry to a new car. A lottery requires payment, a chance, and consideration (as defined by federal statute).
Public lotteries have been around since the 15th century, when a record from Ghent indicates that towns held public lotteries to raise funds for walls and town fortifications. Lotteries became widely used in colonial America to fund government projects and private enterprises. Benjamin Franklin sponsored a lottery in 1776 to raise money for cannons for the Continental Army. Private lotteries were also common, with many notable examples, including the Harvard and Yale colleges.
State lotteries have a similar structure: the state establishes a monopoly; hires a public corporation to run it; begins operations with a few simple games; and, under pressure for more revenue, slowly expands. But the promotion of gambling—even if it is minimal—raises ethical concerns about poor people and problem gamblers. And is the lottery really an appropriate function for state governments?
