The U.S. Handling of the Poker Industry Is Another Example of Anti-Jobs Policy

EconMatters's picture

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sun tzu's picture

Any area that relies on gambling to provide jobs is usually depressing. Look at gambling towns like Vegas, Atlantic City, and Shreveport. Once you leave the casino, there's nothing but druggies, prostitutes, and conmen. I'm not against gambling, but I don't think that is the way to improve the economy. It should be up to each state to decide

masterinchancery's picture

This is just another example of the nanny State, spurred on by lobbyists for other gambling interests, destroying our freedom.  Meanwhile, state supported gambling rolls on.

Market Analyst's picture

Actually govt. claiming P-Scheme after practically running them out of business.

FunkyMonkeyBoy's picture

Only the government is allowed to gamble and squander your monies.

CapitalistRock's picture

A state run lottery is legal but a private poker game is not. What an injustice.

sun tzu's picture

In most states a private poker game is legal as long as the house doesn't take a cut

Seasmoke's picture

not the best timing for a pro poker article with a picture of Ponzi Jesus

EconMatters's picture

Chris Ferguson has a phd in Computer Science from UCLA, and is "accused", not convicted, and therefore is presumed innocent.  Nevertheless, we got Patrik Antonius picture up for the media-contaminated mind. 

Sequitur's picture

I don't know about the premise of this article.

But it's patently obvious why governments outlaw most gambling. Because private citizens who run gambling halls would compete directly with state-sponsored gambling, such as the lottery and OTB.

It's such bullshit. States prevent you from running a gambling business. Yet is perfectly fine for poor people to throw away money on gambling via state lottery tickets -- one of the worst bets in the entire gambling world, period.

Antipodeus's picture

"But it's patently obvious why governments outlaw most gambling." ... WTF?

Because it's mostly run by Organised Crime' ... and the Government doesn't like the competition?



Rick64's picture

I would say it comes down to who has the bigger lobbyist. Online and any other gambling poses a threat to the Casino industry. Casinoes have a lot of money to throw at D.C.. Ex-super lobbyist Jack Abramoff used the bigger casinoes money to shut down smaller casinoes that were competitors via legislation passed by politicians getting huge donations.

free_as_in_beer's picture

Wasn't full tilt just exposed as a Ponzi scheme?

sun tzu's picture

If it was legal and based in the US and subject to regulation, then it would be less likely to rip off the customers. When you force the company offshore to Curacao or St Kitts, it's easier for them to steal from customers thousands of miles away. I've never heard of Caesars Palace or Mandalay Bay ripping off gamblers.

buck4free's picture

Our dear government hath "alleged" it to be... so I guess the answer to your question is "yes".

NotApplicable's picture

I can't imagine having much success sewing seeds, nor can I think of any reason to do so.

As for the online poker industry, well, somebody has to protect the mafia!

muddy's picture

I will see your "What the fuck is this shit?" and raise you "You have got to be fuckin' kidding me!"

Pike Bishop's picture

<Holy Shit.>

Poker has become as main stream as college football on Saturday afternoons for Americans.

That's great. Do you know why the Illinois/Iowa game is broadcast nationwide? Because the outcome is part of the $100B illegal gambling business. For some reason do you think that programming directors don't know what games are on the betting slips in NYC and LA, and big money on the boards in LV?

However, unlike football many recreational players are able to play the game often alongside the professionals and derive a substantial entertainment benefit that adds positively to their lives in terms of happiness at a social level.

Yeah. Until somebody loses the rent on the last hand. I have two words "Atlantic City". Go see how a family town can be turned into a shithole of pawnshops and prostitution. Don't say I'm stretching the comparison, because under this plan for poker, WalMart will be cashing food stamps for poker chips to play on the tables in Aisle 12. Why wouldn't they embrace the profit motive? Bigger is better.

This would create jobs for waitresses, dealers, floor personnel, bar tenders, cooks, dishwashers, cleaning, maintenance, marketing, and managerial jobs in a direct fashion. But in addition to the direct jobs, ... plus indirect etc (snip)

I'm going to assume you have worked in a gambling hall, and thought it was a real healthy environment in which to work. Just what we need, really shitty service jobs. Oh, and you better get enough tax revenue to double the Police force in your town. Casinos don't have 12 layers of security and 100 Security staff per shift because they feel like it. When cash is involved, people behave in extreme manners. And people will get beat-up and shot-at in the parking lot. We have a rather robust history of that outside of "private" clubs in Phila.

This is actually a much more important philosophical shift than one would imagine on first blush, having the right pro-business attitude towards all industries and businesses creates animal spirits in the economy, think in terms of the great industrial revolution where many new business ventures were allowed to flourish, make mistakes, fail, and succeed at the same time.

Yes it is an important shift. I have seen it in action in foreign cities and in the US in "Call and Response". It's called child prostitution. The laissez-faire free-market sets the price for the child. It is, of course, a lot less than civilized people value the life of a child. Ya just can't beat unregulated efficient markets.

The great thing about fucking and gambling enmeshed in the profit motive, the "good customers" never seem to get enough of it.

</Holy Shit>

bankruptcylawyer's picture

what's amazing is how brainwashed people are by the poker meme, defending it as a game of skill, to not understand that it is gambling and that , the gambling meme conquered 99% of wall street activity in the last 50 years with the rise of securitization and derivatives

gambling is what turned what used to be a mostly legitimate excercise in getting capital from investors to business owners , into a casino used to bilk an entire nation by funding mass financial bubbles, including the one we know as the import bubble based on wage arbitrage. 

----it's funny, even very clever intelligent poker players are blind to the obvious frequently. it's called wisdom and understanding. 

and you can't get it by simply being clever.

bankruptcylawyer's picture

this was the best comment on this board, using the witty language of poker to tell the author he is a fucking moron for using this particularly shitty example of government bungling, mischaracterizing the entire nature of the online offshore casino internet system's economic relationship to the real economy of the u.s., and then comparing it to legitimate bungling. 


thank you. 

this is not acceptable shit on zerohedge. just letting this idiot post this makes me have less faith in zerohedge, and i've been coming for years. 


however, as with any media organization , not every post is going to be innocent. that's ok. 


internet poker---fucking corruption on steroids. it's like a couple clever internet guys figured they could create a virtual vegas on a few offshore servers, avoid the feds (cut deals with god knows which underground crime families who are protecting them from the crime families , oh wait, now theyre corporations, that run vegas), ---and get away scott free without paying off the irs.


i have a professional poker player friend who was valedictorian of his college class and dropped out of a wall street job. he does well, not great but well at poker, unlike most people who attempt to play this game. ----and even this guy who is very smart, has no fucking reservations about trusting the system which is his life support, his livelihood. as a result, he winds up in underground clubs mostly as a staked shark ( i met him at one of these clubs) and that's his life. he enjoys it. it's sad that a smart guy like this can't be more succsful doing productive work, but he is happy enough . i give him that. 

he also lost 25,000 to full tilt because they shut down before he could get his money out. 

seems ok right, but what happens when it's not full tilt, but citibank doing that?



RemiG2010's picture

Poker - A Game of "Skill" ... bots .... and smaller versions of Wall Street Hall 9000s!

Boilermaker's picture

LOL, what the fuck is this shit?

spiral_eyes's picture

I notice this article fails to note that most of the online sites were basically run as ponzi schemes. I think a lot of gambling sites probably have this issue.

Vampyroteuthis infernalis's picture

I have played many a hour of poker. It is a mixture of skill and luck. It is a niche entertainment area. This does not even address the basic fact the developed world fails to produce tangible goods. WTF?

sun tzu's picture

It's cheaper to hire a dirt poor peasant to make shoes than to hire a college grad. As long as there is "free" trade, this will be the case.