COMMENT ON LEGAL GAMBLING AS A STRATEGY FOR ECONOMIC-DEVELOPMENT

Gross's arguments are representative of the gambling literature. Unfor tunately, many of the accepted arguments against gambling come from in complete or biased economic analysis. This comment addresses several i ssues in Gross's article from an economist's perspective. First, Gross 's concern for tax revenues (as a benefit) and tax regressivity (as a problem associated with legalized gambling) is unwarranted. Taxes are simply wealth transfers, and regressivity of voluntary taxes is hardly a reason for concern. Second, Gross and many other noneconomists mist akenly believe that exports are necessary for economic growth to occur Certainly, exports cannot be the only cause of growth, because the wo rld economy has grown without exporting anything. Finally, Gross argue s that there is no popular support for legalized gambling. But consume rs vote with their dollars, and many ''votes'' have been cast in favor of legalized gambling.