Let’s start with a definition. What is gambling? Gambling is betting on a thing that may or might not happen down the road. Whenever we gamble, we take a risk, choose an uncertain outcome, and bet on it. Gamblers bet on casino games, horse racing, and sports where the result can’t be predicted with certainty. Some people will bet on anything. Remember the Seinfeld episode where Kramer bet on the arrival and departure times of airplanes at a new York City airport?
How is gambling not the same as buying stocks and bonds? Stocks and bonds are considered investments and not gambles because we can reasonably anticipate to come out ahead within the long term. They could be risky but not in the same sense as gambling.
How is gambling not the same as buying coverage? Whenever we buy insurance, we are betting on a thing that may or may not happen in the foreseeable future. We do not want to take the risk that it will happen, so we pay someone else (the insurance company) to take the risk for us. As we buy homeowner’s insurance coverage, for instance, we have been betting our house will burn down as well as the insurance coverage company is betting it won’t. (Of-course we hope we won’t win this bet.) This isn’t gambling because the risk may be calculated. The insurance company uses all kinds of statistics to analyze the probability of our house burning down and fixes the premium we’re going to pay accordingly.
People have gambled since ancient times. On the other hand, society never approved of it since it was labeled an attempt to get money without doing work for it. Society considered that serious effort should pave the way to financial success. It was not until the late 1960s that states (except for Nevada which had legalized all forms of gambling earlier) started to run lotteries to raise money for worthwhile causes.
So why do we gamble despite the fact that we are unlikely to win in the long term? We gamble for the excitement of the uncertain outcome. Some gamble to try and make their financial dreams come true. Some people gamble for entertainment or enjoyment, such as a night out with friends at the casino online or a bingo game for a charitable organization or possibly a lottery ticket. Some think they may beat the odds and make a living out of gambling. You can find people who gamble while they simply love the challenge. They look at gambling as a game of skill or problem solving and they are sure they can win. Some like the environment or perhaps the thrill of a possible big win, or even the adrenaline rush of taking a chance. Casinos allow us to socialize and pass some time. You will find no clocks in a casino; we lose track of time; we forget all our troubles. It’s like a therapy session! If we are timid, we can go to a casino and boldly take chances.
Occasional gambling may be a relaxing form of entertainment but be mindful not to get addicted. Addiction may lead to obsession. You may lose control and become so fanatical that you can ruin you life or suffer other catastrophic consequences. So if you gamble, be sure you set limits and keep to the limits you’ve got set.