U.S. Casinos Outrun the Revenue Earned by Macau
Gambling has become a lucrative trade over the years. In short, gambling is a global practice. Well, year in year out, there is always a statistics report that states the countries that have amassed huge amounts of revenue from the gambling practice. With that said, the American Gaming Association was proud to report that the revenue earned by the United States was able to outrun the revenue that was earned in Macau, a city in Asia.
Casinos in the U.S. at the Top
For more than three years now, the United States casino market has been able to outrun the revenue earned by the city of Macau. The report indicates that the 24 states in the U.S. that have legalized gambling are able to amass revenue of $40.28 billion and an increase of 3.6% has been noted as each year commences. Additionally, since gambling was legalized in the various states, the tax revenue that accrues from this specific industry amounts to $ 9.23 billion as per the 2017 statistics. Other organizations such as the National Indian Gaming Commission has also noted a growth in the amount of tax collected thanks to the legalization of gambling. As for Macau, the gambling industry in the state has recorded a 19.1% growth, and the revenue collected as per 2017 amounted to $32.87 billion.
The Issues in Macau
Of late, the Chinese Government has launched a serious crackdown on corruption. This particular crackdown has affected the state of business in Macau. Although Macau is a region that has been able to thrive through the endorsement of gambling, the state mainly relies on high-end clients. High-end clients like government officials have always visited the casinos in Macau thereby leading to an increase in the gambling revenue earned by the state. However, the crackdown by the Chinese Government has been bad for business since they have even incorporated the use of facial recognition software in the Macau casinos. This specific move has allowed the Chinese Government to arrest the various corrupt government officials who have been laundering money into China through the casinos in Macau.
With time, the crackdown on corruption has eased up, and business in Macau is thriving even more. Nevertheless, it’s not a smooth ride as expected; if another anti-corruption campaign is launched, business will, unfortunately, go down again since there will be stagnant growth in Macau. Another good point to note is that the growth of the gambling industry in Macau was quite massive and it was almost about to outshine the gaming revenue that was being earned by the United States when it came to the casinos. Well, since the government had decided to curb corruption, the revenue earned by Macau from gambling deteriorated. Al in all, Macau began to experience some prolific growth as from 2017.
As for the United States, the major states that are able to amass huge amounts of revenue from gambling are such as Las Vegas and the Atlantic City. Las Vegas was able to come up with gross revenue of $6.46 billion while the Atlantic City was able to come up with a total of $2.41 billion. With that said, the U.S. gambling industry continues to grow exponentially. On the other hand, Macau is bound to grow even more on condition that the anti-corruption campaigns decrease.