Lottomania and other anomalies in the market for lotto

Michael Beenstock; Yoel Haitovsky

doi:10.1016/S0167-4870(01)00057-5

Lottomania and other anomalies in the market for lotto

Michael Beenstock^*, Yoel Haitovsky

^*Corresponding author for this work

Department of Economics

Research output: Contribution to journal › Article › peer-review

31 Scopus citations

Abstract

This research is concerned with the determination of the demand for "lotto" in Israel. While an important focus of our research is upon the effects on the demand for lotto of ticket pricing and jackpot announcements, we also investigate several empirical phenomena that are apparently inconsistent with expected utility theory. These include an effect we call "lottomania" which is induced by rollover, and "prize fatigue" when the jackpot does not increase. Another aberration from expected utility theory is that the underlying odds of winning have no measurable effect on sales.

Original language	English
Pages (from-to)	721-744
Number of pages	24
Journal	Journal of Economic Psychology
Volume	22
Issue number	6
DOIs	https://doi.org/10.1016/S0167-4870(01)00057-5
State	Published - Dec 2001

Keywords

Gambling
Rational choice
Statistical probability

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10.1016/S0167-4870(01)00057-5

Cite this

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Lottomania and other anomalies in the market for lotto

Abstract

Keywords

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