It's lose, lose for the taxpayer
A shrinking economy means lost sales and lost jobs
If gambling were banned, those social costs would drop, tax revenues from consumer goods would increase, and money would be pumped into the productive economic sector
The ABCs of legalized gambling - addictions, bankruptcies and crime
The social costs, and the increased tax costs due to addicted gamblers, stay behind
For every dollar of revenue generated by gambling, taxpayers must pay at least $3 in increased criminal justice costs, social welfare expenses, high regulatory costs, and increased infrastructure expenditures