Recessions may benefit gaming industry if not caused by a pandemic
New York State Lottery sales and net win declined from $9.7 billion in 2019 to $8.6 billion in 2020. This sharp decline stands in stark contract to the years after the 2008 financial crisis, when sales and net win increased every year from 2007 to 2014. Recessions and unemployment may encourage more gambling due to less time spent at work, desperation and depression. Traditional lottery sales remained essentially the same from 2019 to 2020. However, credits played in video lottery gambling, generated from racetracks, fell by 56.7%.
COVIDIn response to volatile demand in the wake of the first COVID-19 surge, the company undertook a comprehensive cost reduction program, aimed at shoring up labor and supply costs.
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