The lottery is a form of gambling where participants bet a small amount for the chance to win a big jackpot. Often the money is used for public good. But many critics see lotteries as a disguised tax on those with the lowest incomes who, disproportionately, play the games.

The concept of determining fates and allocating prizes by the casting of lots has a long history, but lottery gaming as a source of revenue is relatively new. When a state establishes a lottery, it legislates a monopoly for itself; creates a government agency or corporation to run the business; begins operations with a modest number of fairly simple games; and then — driven by constant pressure for more revenues — gradually expands the lottery’s size and complexity.

In the end, most of the prize money a lottery generates goes to paying out winning tickets and to covering the costs of organizing and promoting the lottery. A percentage also goes to state and corporate profits, as well as to retailers who sell the tickets. Only a small fraction is left for the prize pool, and this is where the critics charge that the lottery is a hidden tax on those who can least afford to play.

To make a profit, the lottery needs to attract large numbers of people who will be willing to pay for tickets. Typically, this is done by offering a jackpot of a few million dollars, which draws in the people who want to fantasize about becoming wealthy overnight. But there’s more to lottery gaming than just that inextricable human impulse.