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The Dispatch-Argus

January 7, 2011

Dear Editor,

In responding to Fred Gottheil’s flagrantly dishonest editorial about gambling (Jan. 4), it is difficult to know where to begin. His tirade – which is not substantiated by any recently collected facts on gambling – paints a wholly inaccurate picture of the gaming industry and those who patronize casinos.

Mr. Gottheil describes casino gamblers as low-income individuals who “live on false hope.” Casinos, however, are completely transparent about the odds their customers face; to assume that those customers are somehow duped is to grossly underestimate them.

Additionally, a 2008 survey found that the average casino customer earned nearly $60,000 annually – $8,000 more than the U.S. average. And our patrons were slightly more likely to have attended college than the typical American.

Mr. Gottheil’s claims about the predatory nature of our business collapse completely in the face of the results of the recent Iowa elections. Last fall, an average of 78 percent of Iowans approved renewing casino gambling in their communities for another eight years; in some counties, the measures were approved in record-breaking numbers. Clearly, Iowans who live and work near casinos consider them important community assets. Surveys of casino county residents in other areas echo these sentiments.

Mr. Gottheil also suggests that money spent at casinos is essentially lost, offering no benefit to the economy. This, of course, completely misrepresents how the economy actually works. In addition to providing much-needed tax revenue and opportunities for local businesses, our industry employs more than 330,000 people who are paid $13.1 billion. Thousands more are employed by the industry’s many suppliers and vendors. And, as they purchase goods and services, the money they earn is circulated back into the economy.

Plain and simple, the industry Mr. Gottheil describes does not exist. His argument is tainted by personal bias and a willful disregard for facts, and his angry rhetoric does not reflect reality.

Sincerely,   

Frank J. Fahrenkopf Jr.
President and CEO
American Gaming Association

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