2013년 11월 28일 목요일

About 'bad debts expense'|...accrue any more unnecessary debt, or make any more unnecessary spending expenses. There’s not one big... things worse rather than better...







About 'bad debts expense'|...accrue any more unnecessary debt, or make any more unnecessary spending expenses. There’s not one big... things worse rather than better...








When               Governor               Ed               Rendell               defeated               Mike               Fisher               in               November               2002,               most               Pennsylvania               citizens               did               not               realize               that               the               first               major               action               they               would               see               out               of               the               new               administration               would               be               an               attempt               to               legalize               slot               machines               at               racetracks               in               the               State.

The               Governor               claims               that               the               extra               revenue               coming               in               from               the               slot               machines               would               help               close               the               massive               budget               deficit               that               Pennsylvania               is               facing.

I               will               argue               that               the               consequences,               both               social               and               financial,               outweigh               the               benefits               when               it               comes               to               legalizing               slot               machines,               and               it               is               therefore               unwise.

There               are               four               racetracks               in               Pennsylvania,               and               each               of               them,               as               have               most               racetracks               nationwide,               has               seen               their               popularity               fall               off               drastically               over               the               last               30               years.

Other               states,               including               nearby               Delaware               and               West               Virginia,               have               legalized               slot               machines               at               race               tracks,               creating               "racinos,"               as               they               are               called.

These               racinos               have               been               a               smashing               success,               at               least               financially,               providing               hundreds               of               millions               of               dollars               every               year               to               State               governments.

Similar               legislation               has               been               drafted               in               Pennsylvania               over               the               last               5               years,               but               did               not               pass               because               there               was               no               urgent               need               for               extra               revenue.
               However,               Pennsylvania,               as               are               most               other               states,               is               currently               staring               at               a               large               budget               deficit.

This               has               caused               many               states               to               look               more               closely               at               racinos               as               a               revenue               source.

Ohio,               Maryland,               New               York,               and               New               Jersey               are               also               considering               adding               slot               machines               at               racetracks.

In               Pennsylvania,               Rendell               supporters               claim               that               adding               3,000               slot               machines               at               each               of               the               State's               four               racetracks               will               generate               at               least               $500               million               every               year               in               additional               money               for               the               government.

Racetrack               owners               are               eager               to               convert               into               racinos,               after               seeing               the               financial               windfall               experienced               in               Delaware               and               West               Virginia.
               Opponents               of               racinos               argue               that               the               social               damage               done               by               gambling               is               staggering.

Among               the               problems,               addiction               may               be               the               most               devastating               to               the               individual               and               the               most               expensive               to               the               government.

It               has               been               estimated               in               areas               where               gambling               has               been               legalized               that               0.5%1,               or               one               out               of               every               200               people               become               addicted               to               gambling.

In               Pennsylvania               alone               that               represents               61,500               citizens.

Taxpayers               would               most               likely               have               to               foot               the               bill               for               their               treatment,               therefore               detracting               from               the               revenue               the               racinos               generate.
               Another               argument               against               legalized               gambling               is               that               studies               have               shown               those               most               likely               to               gamble               are               the               poor               and               the               elderly.

Is               it               morally               right               to               close               the               budget               deficit               at               the               expense               of               those               who               need               the               money               most?

Racinos               would               widen               the               income               gap               between               the               rich               and               poor.
               A               financial               argument               against               slot               legalization               is               that               studies               have               shown               that               in               areas               with               legalized               gambling               bankruptcies               rise               almost               20%               due               to               gambling.

This               leaves               creditors               with               more               bad               debts,               and               the               bankrupt               individuals               with               a               big               financial               hole               to               climb               out               of.

Those               with               previous               bankruptcies               may               have               a               difficult               time               getting               loans               for               cars,               homes,               and               other               large               purchases.

Bankruptcies               can               be               very               damaging               to               Pennsylvania               on               both               an               individual               and               governmental               level.
               Many               people               associate               gambling               with               crime.

This,               in               fact,               is               not               a               baseless               assumption.

Statistics               tell               us               that               within               three               years,               crime               can               rise               by               10%               in               gambling               areas,               and               may               continue               to               rise               after               that.

Desperate               people               who               have               lost               it               all               might               resort               to               means               such               as               this               to               get               their               feet               back               on               the               ground.

This               not               only               presents               a               danger               to               patrons               of               the               racinos,               it               lowers               the               quality               of               life               for               those               living               in               the               areas               around               the               racinos.

Crime-prevention               costs               might               rise               as               a               result,               once               again               taking               from               the               taxpayer's               coffer.
               Advocates               of               racinos               suggest               that               without               the               extra               revenue               from               the               slot               machines,               public               schools               will               be               severely               affected,               since               education               is               often               a               target               when               there               are               budget               cuts.

I               see               this               as               a               threat               to               appeal               to               those               people               who               would               never               consider               gambling,               but               are               horrified               at               the               thought               of               the               school               system               being               harmed.

Pennsylvania               has               been               through               recessions               before,               and               it               will               go               through               recessions               in               the               future.

Budget               shortfalls               are               a               fact               of               life,               but               they               can               be               dealt               with               in               better               ways               than               to               panic               and               allow               the               social               fabric               of               the               State               to               be               tarnished.
               I               believe               that               racinos               in               Pennsylvania               would               seriously               damage               social               order,               and               that               the               problems               created               would               lessen               the               positive               impact               on               State               revenues.

Lawmakers               must               weigh               the               advantages               and               disadvantages               before               making               an               informed               choice               regarding               this               issue.
               1               All               statistics               in               this               essay               are               from               the               article               "Slots               a               Bad               Deal               for               Taxpayers,               Economist               Says"               by               Tom               Murse.

http://www.strongerpa.org/gamblingdamage/slotsbaddeal.htm






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