Should We Put Lotteries for Education on the Honor Roll or in the Corner?
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Abstract
Many states have passed lotteries for education in the hopes of increasingeducation funding and ultimately improving educational outcomes. This paper looks atreal per capital state and local direct education spending and finds strong evidence thatlotteries for education have increased per capita education spending in those states thatpassed a lottery for education between 1978 and 2000. Further evidence in the papersuggests that money flowing into state and local budgets from a new source such as alottery will be used to fund new spending, tax cuts, and deficit reduction. (H71, H72)
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