Welfare Effects of Gambling on Nigerian Youths: A Case Study of Lagos State

Authors

  • Saidi Atanda Mustapha Bells University of Technology
  • Sunday Oluwafemi Enilolobo Bells University of Technology

DOI:

https://doi.org/10.5750/jgbe.v12i1.1629

Keywords:

, Baba Ijebu, Naija Bet, Sources of financing, Probit model, Gauge Chart

Abstract

With the increasing rate of youth unemployment in the country, Nigeria’s youths have invested their commitments (time, money and intrinsic efforts) to several gambling avenues such as Baba Ijebu, Naira Bet, Westen Lotto Bet, etc. to source for finance to meet up their daily expenses and reduce the crime rate that would have engaged in as a result of high rate of unemployment. The aggregate unemployment rate is 70%, while youth unemployment accounts for about 58%. With the huge rate of youth unemployment in the country, the study intends to examine the participation level of youths in gambling in Lagos State. It further inspects the effects of youth gambling on household welfare and spending. Methods used by the paper include: a two-stage survey design, a qualitative component that comprises of the targeted focus group discussions and probit modelling to estimate how important the identified challenges are. The paper found that Nigeria’s unemployed youths have utmost interest in gambling to sustaining their income source and meeting daily spending. These activities have reduce crime rate orchestrated by the youths, but with rising displacement effects on household welfare and spending. The paper concludes that gambling has adverse effect of youth’s welfare and therefore, recommends that the Lagos State government should embark on formalizing all gambling activities to protect the gambling youths and strengthen tax revenue collection through the introduction of “per winning tax”.

References

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Lagos State Lottery Board (LSLB), (2017). “Quarterly Report” accessed at https://www.lslb.lg.gov.ng/uploads

Maikori, Y., (2014), “Gaming Outlook in Nigeria – Licensing and Operating a Gaming Company in Nigeria”, A Presentation Delivered at the 14th Conference on Gambling Industry Outlook Organized b the National Lottery Regulatory Commission, Abuja-Nigeria.

Nwingwe, C. Yusuf , S. A. And Okoruwa, V. O., (2012), “Determinants of demand for gambling/office football betting in Ibadan, Oyo State, Nigeria” Journal of Gambling Business and Economics, Vol 6, (No. 2).

South African National Gambling Board (2013), Annual Report. National Gambling Board, December, 2014, 25-36.

Published

2019-10-11

Issue

Section

Articles