Gambling exists in every state, even Hawaii and Utah, where gambling is prohibited by law. But not all gamblers are the same. “Recreational” or “social” gamblers, for instance, buy the occasional lottery ticket, take the rare casino trip or bet small stakes in fantasy sports. But they also are mentally able to quit at any point and prevent catastrophic financial loss.
But when the business or pleasure gets out of control, gambling becomes a real medical condition. Gambling disorder, as it’s known, affects about 1-3 percent of all U.S. adults – but it may be on the rise due to increased isolated time spent online during the COVID-19 pandemic. According to the Mayo Clinic, “Gambling can stimulate the brain's reward system much like drugs such as alcohol can, leading to addiction.”
That addiction can lead to serious economic consequences. For example, U.S. consumers experience over $100 billion per year in total gambling losses. Individually, a male gambling addict accumulates an average debt of between $55,000 and $90,000 whereas a female averages $15,000. Most cannot afford to pay back what they owe. As a result, gambling addicts develop a high tendency to amass even more debt, suffer from other health issues, lose their jobs, strain their relationships or even commit crimes.
The gambling problem, however, is much bigger in some states than in others. WalletHub therefore compared the 50 states to determine where excessive gambling is most prevalent. Our data set of 21 key metrics ranges from the presence of illegal gambling operations to lottery sales per capita to the share of adults with gambling disorders.
With the Kentucky Derby approaching and gamblers preparing to bet on their favorite horses, WalletHub also released its 2021 Kentucky Derby infographic.
Main Findings
Most Gambling-Addicted States
| Overall Rank* | State | Total Score | Gambling-Friendliness | Gambling Problem & Treatment |
|---|---|---|---|---|
| 1 | Nevada | 65.04 | 1 | 5 |
| 2 | Mississippi | 61.96 | 6 | 1 |
| 3 | South Dakota | 61.93 | 2 | 4 |
| 4 | Montana | 60.30 | 3 | 3 |
| 5 | Louisiana | 53.26 | 5 | 21 |
| 6 | Oklahoma | 51.58 | 4 | 37 |
| 7 | New Jersey | 51.46 | 9 | 15 |
| 8 | Minnesota | 50.45 | 15 | 6 |
| 9 | West Virginia | 50.23 | 7 | 26 |
| 10 | Oregon | 48.35 | 10 | 25 |
| 11 | North Dakota | 48.30 | 8 | 34 |
| 12 | Texas | 45.40 | 25 | 10 |
| 13 | Massachusetts | 45.37 | 13 | 30 |
| 14 | Wyoming | 45.33 | 14 | 28 |
| 15 | Rhode Island | 44.77 | 11 | 39 |
| 16 | Colorado | 44.76 | 28 | 8 |
| 17 | Illinois | 44.68 | 18 | 23 |
| 18 | Missouri | 44.43 | 29 | 9 |
| 19 | South Carolina | 43.82 | 31 | 11 |
| 20 | Delaware | 43.77 | 16 | 35 |
| 21 | Alabama | 43.27 | 20 | 31 |
| 22 | California | 42.96 | 32 | 13 |
| 23 | New Hampshire | 42.90 | 39 | 7 |
| 24 | Pennsylvania | 42.67 | 17 | 40 |
| 25 | Kansas | 42.42 | 30 | 16 |
| 26 | Virginia | 42.13 | 22 | 32 |
| 27 | Iowa | 41.91 | 12 | 46 |
| 28 | Indiana | 41.14 | 19 | 43 |
| 29 | Georgia | 41.13 | 21 | 38 |
| 30 | Vermont | 40.86 | 33 | 18 |
| 31 | Arkansas | 40.65 | 36 | 14 |
| 32 | Tennessee | 39.91 | 43 | 12 |
| 33 | Ohio | 38.79 | 27 | 42 |
| 34 | Nebraska | 38.76 | 37 | 22 |
| 35 | Maryland | 38.75 | 34 | 29 |
| 36 | New York | 37.34 | 24 | 47 |
| 37 | Connecticut | 37.33 | 23 | 48 |
| 38 | Washington | 37.22 | 41 | 27 |
| 39 | Kentucky | 35.98 | 35 | 44 |
| 40 | Florida | 35.92 | 26 | 49 |
| 41 | Arizona | 35.65 | 42 | 33 |
| 42 | Wisconsin | 35.45 | 38 | 41 |
| 43 | Hawaii | 34.54 | 49 | 2 |
| 44 | Alaska | 34.30 | 45 | 19 |
| 45 | Idaho | 32.73 | 46 | 17 |
| 46 | New Mexico | 31.32 | 40 | 50 |
| 47 | Michigan | 30.15 | 44 | 45 |
| 48 | Maine | 29.28 | 47 | 36 |
| 49 | North Carolina | 25.41 | 48 | 24 |
| 50 | Utah | 23.69 | 50 | 20 |
Note: *No. 1 = Most Addicted
With the exception of “Total Score,” all of the columns in the table above depict the relative rank of that state, where a rank of 1 represents the best conditions for that metric category.
Ask the Experts
Over the years, more advanced technology has paved the way for new forms of gambling, such as iGaming, online fantasy sports and video poker. And while the estimated $261 billion gaming industry is no doubt a major contributor to the U.S. economy, its critics argue that gambling leads to social and economic problems, including gambling disorder and regressive taxes in areas where gambling facilities are present. For more insight, we asked the following key questions to a panel of gaming-industry experts:
- Should sports betting be legal in all states? What are its pros and cons?
- Should daily fantasy sports be regulated as gambling?
- On balance, are state lotteries a good idea? Is there a way to make them less regressive?
- What are the signs someone is addicted to gambling? What should friends and family do to help?
- Global gambling industry has been severely affected by the COVID-19 pandemic. How have the restrictions affected the U.S. gambling market?
Ask the Experts
- David P. Jarmolowicz
Ph.D. – Associate Professor, Department of Applied Behavioral Science, College of Liberal Arts and Sciences – University of Kansas
Read More
- Stephen L. Shapiro
Ph.D. – Professor and Interim Director of Graduate Programs, Department of Sport and Entertainment Management – University of South Carolina
Read More
- Donald E. Nowak, Jr.
Ph.D., CRC – Associate Professor, Department of Counseling & Clinical Psychology, Education Director – Medaille College
Read More
- Brady J. Phelps
Ph.D. – Professor of Psychology – South Dakota State University
Read More
- John Warren Kindt
Professor Emeritus, Law and Economics – University of Illinois at Urbana - Champaign
Read More
- Jamey J. Lister
Ph.D. – Assistant Professor, School of Social Work – Rutgers, The State University of New Jersey
Read More
Methodology
In order to determine where gambling addiction is most prevalent and harmful in America, WalletHub compared the 50 states across two key dimensions, “Gambling-Friendliness” and “Gambling Problem & Treatment.”
We evaluated those dimensions using 21 relevant metrics, which are listed below with their corresponding weights. Each metric was graded on a 100-point scale, with a score of 100 representing the highest dependency on gambling.
We then determined each state’s weighted average across all metrics to calculate its overall score and used the resulting scores to rank-order the states.
Gambling-Friendliness – Total Points: 70
- Commercial & Tribal Casinos per Capita: Triple Weight (~11.05 Points)
Note: “Per capita” considers adults aged 18 and older. “Commercial casinos” are defined as land-based, riverboat and racetrack casinos. - Gaming Machines per 1,000 Residents: Double Weight (~7.37 Points)
Note: “Per 1,000 residents” considers adults aged 18 and older. - Share of Gambling Properties Opened: Triple Weight (~11.05 Points)
Note: This metric refers to gambling properties opened in the wake of the coronavirus pandemic, as of March 29, 2021. - iGaming Revenues per Capita: Full Weight (~3.68 Points)
Note: “Per capita” considers adults aged 18 and older. - Limited-Stakes Gaming Revenues per Capita: Full Weight (~3.68 Points)
Note: “Per capita” considers adults aged 18 and older. - Commercial Casinos Revenues per Capita: Double Weight (~7.37 Points)
Note: “Per 1,000 residents” considers adults aged 18 and older. - Lottery Sales per Capita: Full Weight (~3.68 Points)
Note: “Per capita” considers adults aged 18 and older. - Presence of Retail/Convenience Gaming: Full Weight (~3.68 Points)
Note: This metrics measures the presence of slot machines in retail or convenience locations. - Presence of Illegal Gambling Operations: Full Weight (~3.68 Points)
- Legality of Daily Fantasy Sports: Full Weight (~3.68 Points)
- Legality of Sports Gambling: Full Weight (~3.68 Points)
- Legality of Horse-Race Gambling: Full Weight (~3.68 Points)
- Google Search Interest Index for “Gambling”: Full Weight (~3.68 Points)
Note: This metric measures Google search interest for the terms “Lottery,” “Casino,” “Slots,” “Blackjack,” “Sport Betting” and “Horse Racing Betting.”
Gambling Problem & Treatment – Total Points: 30
- Share of Adults Aged 18 and Older with Gambling Disorders: Triple Weight (~9.00 Points)
- Gambling Counselors per Capita: Full Weight (~3.00 Points)
Note: “Per 1,000 residents” considers adults aged 18 and older. - “Gamblers Anonymous” Meetings per Capita: Full Weight (~3.00 Points)
Note: “Per capita” considers adults aged 18 and older. - Presence of NCPG Affiliation: Half Weight (~1.50 Points)
Note: “NCPG” is an acronym for National Council on Problem Gambling. - Employee Training on Disordered- & Problem-Gambling Statuses & Regulations: Full Weight (~3.00 Points)
- Presence of Gambling-Addiction Treatment Programs: Half Weight (~1.50 Points)
- Statewide Self-Exclusion Statute: Full Weight (~3.00 Points)
Note: This binary metric measures the presence or absence of self-exclusion policy in a state.
Self-exclusion (or self-banning) is a voluntary process where a person with a gambling concern excludes themselves from areas of specific gambling venues, or online providers.It can provide a concrete tool to help keep you safe from excessive gambling. - Gambling-Related Arrests per Capita: Double Weight (~6.00 Points)
Note: “Per capita” considers adults aged 18 and older.
Sources: Sources: Data used to create this ranking were collected from the U.S. Census Bureau, American Gaming Association, RubinBrown, National Council on Problem Gambling, North American Association of State and Provincial Lotteries, Federal Bureau of Investigation, Pew Charitable Trusts, Legal Sports Report, Gamboool, Google Ads, Gamblers Anonymous, Casino City Network and Virginia Commonwealth University’s Dr. Jay S. Albanese.