Why did legislators cut the Lottery Commission's advertising budget? What were the consequences?
What will be an ideal response?
Answer:
A. Lottery
1. delivers about $1 billion a year in net revenue to the state
2. Revenue-raising method of the state involving games of chance
B. History
1. beginning lottery was very successful, quickly becoming the largest in the nation
2. legislature changed guidelines under the guise of raising more state revenue
a. cut the payout on scratch-off tickets to as low as 53 cents on the dollar
b. cut the Lottery Commission's advertising budget
C. Consequences
1. lottery revenue dropped, but not enough to kill off the games completely
2. did not meet either of the conflicting sides goals
a. proponents thought the cuts would result in a higher net revenue
b. others wanted to prove that the lottery was an unreliable revenue stream
3. legislators had to eventually cut the state's take
4. revenue slowly recovered
5. Texas joined the multistate lottery in 2003
6. Net lottery revenue has increased slightly each year since 2008
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