Re: Mega Millions VS Big Game

Reply #4

lottoscorp — Thu, 11 Apr 2002 16:23:12 GMT

Each next time any lottery make an adjustment to a payoffor the State change the taxation rules resulting in lesserprofits...I would like to hear your opinion on that.

Reply #3

Todd — Thu, 11 Apr 2002 08:01:48 GMT

I think you're correct, Patrick. Despite the fact that lotteries are not very forthcoming with financial data, they are in fact accountable to the public. Also, any lower administration costs will most likely be offset by higher marketing costs in order to support to higher volume of ticket sales necessary to support such large jackpots.-Todd

Reply #2

Guest — Thu, 11 Apr 2002 02:08:18 GMT

I don't think the lotteries are shafting the players like you say they will. The players on average will STILL be getting about half their money back in winnings.

Reply #1

Gamma Ray — Thu, 11 Apr 2002 00:24:28 GMT

I think the administation cost per $1 sale for the new Mega Millions will be lower as it sell on more state. With the assumption remains unchanged. There can still boost net income, at least keep existing net income, without imparing players' welfare

Re: Mega Millions VS Big Game

Gamma Ray — Wed, 10 Apr 2002 23:59:33 GMT

Let me talk about expected gain on gamblingExpect gain Per Bet=Bet x Payout x OddsFor the 5+0 matche:Biggame Player's Expected Gain=$1 x $150,000 x 1 /2,179,296=$0.068,829,566 Or 6.88%Mega Millions Player's Expected Gain=$1 x $175,000 x 1 /2,649,920=$0.066,039,729 Or 6.66%The calculation shows there is a welfare loss form players to operator.To be honest, and have the welfare unchange, Payout=0.068,829,566 / (1 /2,649,920)=$182,392.85Operator's Expect Gain %=1 -Player's Expected Gain %Operator's... [ More ]