When people talk about betting in sports, their focus is often on how it will affect players and fans. However, standardized sports betting has the potential to do more than just create a defined system for fans to place their bets. Research indicates that sports betting could also have a very powerful effect on the economy.
Sports Betting Can Create Jobs
Research conducted by Oxford Economics indicates that hundreds of thousands of jobs could be created by formal sports betting. They estimate that roughly 216,670 jobs could be created. In addition to hiring people for a regulatory board, any sports betting organization would also need to hire a host of people to assist with customer service, website design, and other tasks. This could create a variety of jobs, ranging from upper management to entry-level positions. People from every walk of life could have the potential of getting a job in the industry. Altogether, the wages earned by these new jobs could generate an extra $11 billion in total labor income.
US Gross Domestic Product Would Expand
Just like any other business, sports betting would enhance the value of the nation’s gross domestic product or GDP. Legalizing sports betting is forecasted to add $22.4 billion to the United State’s GDP. Healthy GDP growth is one of the key ways of seeing whether the economy is flourishing, so the higher GDP from sports betting could be quite reassuring. In addition to a higher GDP, the total economic output from sports betting would be an even higher $41 billion. This indicates just how big of a business sports betting would be.
Sports Betting Has Several Impressive Tax Benefits
Sports betting would also generate far more tax revenue for local, state, and federal governments. Just like any other legal betting, the income people received from sports betting would be subject to taxes. Furthermore, the new jobs created by sports betting would also result in more taxable wages. Altogether, there is an expected increase of $8.4 billion in tax revenue if sports betting is legalized. These funds could potentially be used to pay off government debts or run all sorts of useful government programs, further enhancing the economy.