I’m glad to have had the opportunity to participate in this lottery project and learn "hands on" the methods of Statistics in Professor Busald’s class. To most people, the term statistics simply represents numerical data.  However, my appreciation and understanding of the discipline of statistics has been elevated to a higher level through the various processes that we, the students, undertook this semester to gather, analyze, and interpret (rank) the data we collected on each individual state lottery system.

I’ve learned that there is a wide disparity of best and worst practices between different state lottery systems and a great difference in how each state lottery system is conducted.

  • There are some states that will continue to sell scratch off tickets even after the top prize is claimed and others that incorporate a better practice, we feel, of immediately requiring the retailers to pull the entire game and stop selling tickets after the last top prize is claimed.
  • There are states that use "education" to justify their purpose for their lottery when in actuality no new monies are allocated to the education system from the lottery in excess of their educational budget, whereas, other states actually donate a large portion of earnings from the lottery to scholarship programs on top of their original education budget.
  • Some states donate a fair percentage to problem gambling programs; other states donate no monies to problem gambling.
  • Some states report the odds more accurately and complete for each prize level, others do not give a true representation of the odds by including "free tickets" in their odds statement.
  • Some states inform their players in their advertising of the "annuitized jackpot," whereas, other states just advertise "jackpot" and this could mislead their players into believing that the advertised jackpot is the cash value.

It would be my hope that the results of this statistical project will, ultimately, have a positive impact and influence on all the states to continue to improve their lottery systems for their citizens by adopting some of the best practices we discovered.

Lorraine Gonzales

Math 1442.001

Fall 2007