Journal of Gambling Studies

, Volume 13, Issue 2, pp 125–144 | Cite as

Gambling Market and Individual Patterns of Gambling in Germany

  • Norman Albers
  • Lothar Hübl


In this paper individual patterns of gambling in Germany are estimated for the first time. The probit technique is used to test the influence of a set of individual characteristics on the probability of participating in each of the various legal games. A sample size of 1,586 adults collected for the pool of German lotteries provides a reliable set of data. All disaggregated estimations of participation are statistically significant at least at the 5 percent level. The basic findings suggest that gambling is a widespread normal (superior) consumption good because gambling participation tends to rise with income. Moreover, no demand anomaly can be found to justify assessing gambling as a social demerit. Only the participation in gaming machines is higher for younger, unemployed and less educated adults. While a moral evaluation of gambling is beyond the scope of this paper, the legislator's preference for a highly taxed state monopoly in gambling markets is to be rejected, at least for Germany. Additional statistical findings suggest distinct consumer perceptions of the characteristics of the various games and may be used for market segmentation. The paper starts with a descriptive introduction to the German gambling market.


Individual Characteristic Percent Level Statistical Finding Market Segmentation Moral Evaluation 
These keywords were added by machine and not by the authors. This process is experimental and the keywords may be updated as the learning algorithm improves.


Unable to display preview. Download preview PDF.

Unable to display preview. Download preview PDF.


  1. Albers, N. (1993). Ōkonomie des Glūcksspielmarktes in der Bundesrepublik Deutschland. Berlin: Duncker & HumblotGoogle Scholar
  2. Clotfelter, Charles T.; Cook, P. (1989). Selling Hope: State lotteries in America. London-Cambridge, Mass.: Harvard University PressGoogle Scholar
  3. Greene, W.H. (1990). Econometric analysis. New York-London: MacmillanGoogle Scholar
  4. Judge, George G; Griffiths, W. E. et al. (1985). The theory and practice of econometrics (2nd ed.). New York: Wiley & SonsGoogle Scholar
  5. Maddala, G.S. (1983). Limited dependent and qualitative variables in econometrics. London: Cambridge University PressGoogle Scholar
  6. Musgrave, R.A.; Musgrave P.B. (1984). Public finance in theory and practice (4th ed.). New York: Harvard University PressGoogle Scholar
  7. Steiner, V. (1989). Causes of recurrent unemployment. An empirical analysis. Empirica, 16,No 1, 53–65Google Scholar
  8. Stover, M. (1987). Revenue potential of state lotteries. Public finance quarterly, 15,No 4, 428–440Google Scholar
  9. Szakmary, A; Szakmary C. (1995). State lotteries as a source of revenue: A re-examination. Southern economic journal, 61,No 4, 1167–1181Google Scholar

Copyright information

© Human Sciences Press, Inc. 1997

Authors and Affiliations

  • Norman Albers
    • 1
  • Lothar Hübl
    • 2
  1. 1.Hannover UniversityGermany
  2. 2.Institute of EconomicsHannover UniversityHannoverGermany

Personalised recommendations