Lottery advertisements create false beliefs and hopes
The ethics of lottery assignment
Errors of Omission: By intentionally omitting the odds of winning, lottery advertisers are also guilty of abuses of omission. The intention is to convince customers that they can get rich quickly and easily, whereas, in reality, the odds of winning a cash-prize are miniscule. 6 Because of the complexity of current lotteries, providing odds information would still not allow customers to make completely informed decisions, even for well-educated players. 7 Essentially, advertisements intentionally omit pertinent and crucial information to lure volume sales.
This is largely because many marketers know that when adequate and complete information regarding the expected value of a lottery ticket is presented to consumers, fewer tickets would be sold. 8 Ethical tests: The special obligations test: The National Association’s Code of Ethics implies a specific series of ‘ special obligations’ with which all lottery advertisements must comply. In effect, advertisements are meant to communicate truth and value, abide by standards of good taste and behaviour, avoid greed and avarice, avoid exhortations to bet, and provide full disclosure.
Trade Commission regulates advertising in the private sector, yet the state lottery advertising is exempt from the FTC’s regulations and subject only to the regulation of the state itself. 13 Ignoring Welfare of Citizens: Another objective of government is to improve the welfare of its citizens. 14 The way in which the government pushes the consumption of a product which is monopolized by the state is similar to the marketing of beer or cigarettes, yet the government dissociates itself from these types of products, even though they could lead to increased state revenue. 5 In fact, just like beer and cigarettes, lotteries can have harmful health effects, including addictive behaviour. 16 When the government promotes the lottery as a substitute for taxation, it neglects to mention that it is a regressive form of taxation. In effect, citizens with low incomes end up spending a greater percentage of their income on the lottery than more affluent players, as they are more likely to be enticed by the lottery promotions promising a solution to their financial struggles. 17 Ethical Tests: Every time the overnment fails to fulfill one of the objectives outlined above, it is in violation of the special obligations test. As the government is creating new players rather than targeting current players, it is violating the special obligations test. The government also has a special obligation to its citizens to abide by its self-established legislation regarding state lotteries, which is it violating. Ignoring its own legislation could also be considered a violation of the legal test, as well as the virtues test as a government which abuses its power does not enhance the ideal of a moral community.
Finally, the government is promoting a potentially Stearns, J. , & Borna, S. , p. 45. Levine, J. (2003). Still Ama$$ing Funds? A look at the impact of the ban on advertising on the Massachusetts State Lottery. Duke University, p. 4. Retrieved from: http://econ. duke. edu/uploads/assets/dje/2003/Levine. pdf 15 Willimon, W. (1990). Lottery Losers. Christian Century, p. 48-49. Retrieved from: http://www. religiononline. org/showarticle. asp? title= 762 16 Stearns, J. , & Borna, S. , p. 45. 17 Levine, J. , p. 7. 14 13 harmful lifestyle through lottery advertisements, violating its special obligation to improve the welfare of its citizens.
In accordance with a simple, but profound ethical framework, lottery advertising is violating consumers’ rights to information and decision, failing to adhere to the special obligations of marketing ethics, and is leaving many consumers far worse off. 21 O. Borg, M. & Stranahan A. , Harriet. (Jan. 2005). Does lottery advertising exploit disadvantaged and vulnerable markets? Business Ethics Quarterly, Vol 15, No. 1). Pp. 23-25 22 ?? Mandle, A. Amy. (2010). Psychology of poverty: why poor people buy lottery tickets. Retrieved from: http://www. science20. com/news_releases/psychology_of_poverty_why_poor_people_buy_lottery_tickets