Gambling industry recession proof
Gambling has been called a “recession-proof” industry, but that notion doesn’t seem to hold true for the current economic downturn. Though the Oregon Lottery sold out of tickets to their new raffle. Dec 06, · The only gambling sector that appears to be recession proof is lottery consumption. This series is characterized by a vast and solid growth that appears to be independent of the business cycle and of temporary shocks to income. Casino expenditures appear to have significant positive growth during both expansion and MATMM.ME by: Nov 20, · Recession-proof is without doubt a heavily abused phrase. It’s fair to say that the term could only really apply to an extremely small number of businesses. With regards to the gambling sector .
5 Recession Resistant Industries
Federal, state and local governments employ social workers to work in mental health clinics, child welfare and human service agencies, and community development organizations. MANY video games feature an invincibility power-up that makes the player impervious to damage, at least for a while. I'm already a fan, don't show this again. However, it is one of the most recession-proof jobs because there always will be a need for funeral services. Send MSN Feedback.
5 industries that are recession-proof
The U. As of February , the economy still was adding jobs and the unemployment rate had dropped slightly to 3. But by mid-March, the virus had reached all 50 states and was taking a toll on the economy. The first proof of the damage the coronavirus pandemic was wreaking came with a Labor Department report on March 19 showing a spike in jobless claims from COVID related layoffs.
Since that report was released, economists have been predicting that unemployment will surge and a recession will be inevitable. The retail, restaurant and travel and leisure industries already have been hit hard as a result of social distancing requirements in place to stop the spread of the coronavirus. Other industries also are feeling an impact and more will, too, if there is a recession.
The question, then, is which sectors might be more insulated from an economic downturn. No job is truly recession-proof, but there are certain industries that will provide better job security than others. Using data from the Bureau of Labor Statistics, GOBankingRates identified five sectors that fared better during the Great Recession of December through June and should see lower unemployment rates than other sectors if the economy falls into a recession soon.
Click through the gallery above to see them. Government jobs appear to be more insulated from recessions than jobs in other industries. During the Great Recession, the unemployment rate among federal, state and local government workers was the lowest among all of the recession-proof jobs on this list. And the projected unemployment rate of 3. Keep in mind, though, that some government jobs pay better than others.
MANY video games feature an invincibility power-up that makes the player impervious to damage, at least for a while. As the economic crisis hit in late , some said the same about the industry itself. The theory went that sales of video games, which had been strong in , would also be strong in , because games are a relatively cheap form of entertainment that let people escape from gloomy economic reality. At first glance the sales figures seem to debunk the idea that video games are recession-proof.
But the year ended with a record-breaking December, as people bought consoles and games for Christmas. The decline was biggest in America 9. In some respects, this stumble reflects gaming's new popularity. When it was less of a mainstream activity it was not so connected to the wider economic cycle. The success of the family-friendly Wii has broadened gaming's appeal, but the new players it has attracted are less avid gamers who are more likely to cut back in hard times.
During more people turned to mobile, web-based or second-hand games, says Mr Harding-Rolls. Another way of looking at things, however, is to say that spending on gaming is driven by big hits, and that the slight decline in reflects creative rather than economic weakness. Entertainment industries always have their ups and downs, says Shigeru Miyamoto, the creative force behind many of Nintendo's biggest games. There was an unusually large number of hits in , which boosted sales, and fewer big releases in until late in the year, which may explain the weak mid-year sales.
The top 20 games took a larger share of sales in than in , which shows that the games industry, like the film industry, is becoming increasingly polarised between hits and misses. Hence the hit-and-miss results of the big publishers of video games. Overall, says Mr Miyamoto, 's crop of games may just have been less compelling. That highlights the importance of continued innovation, he says—but it leaves unanswered the question of whether gaming is indeed recession-proof.
This article appeared in the Business section of the print edition under the headline "Still playing". Reuse this content The Trust Project. More from Business Eye of the hurricane America Inc faces a wave of bankruptcies. Buying time A wave of bankruptcies is coming in Europe. Bartleby The pandemic increases the challenges facing business schools.
To improve your visit to our site, take a minute and upgrade your browser. Most research on compulsive gambling focuses on the psychological, biological, or even moral profiles of gambling addicts—but the real problem may be the slot machines. With alcohol research, for instance, there has been a focus not only on the alcoholic but on the alcohol itself. With gambling, the focus is most often on the person. Alice Robb : Why should a cultural anthropologist study gambling?
Natasha Dow Schull : Games are a great window into culture. They indicate what the populace is anxious about or is seeking out. The fact that people are being drawn to individual machine consoles rather than high-volatility, intense social games tells us a lot about the risk and volatility that people feel in the world, in their lives—think of the financial crisis, the culture of fear around terrorism, the environment, global warning. It makes sense that people would seek out games that allow them a sense of control and predictability.
AR : How does gambling promote a sense of security? New kinds of machines are key. With multi-line slot machines, say you put in a hundred coins. Almost every hand, you get the same result— there are no dry spells. AR : You say that people want to get away from their fears about money and people. NDS : In order to get away from the burdens and anxieties associated with monetary value and interactions with other people, you have to work within those mediums and convert them into something else.
To get away from money, you have to play with it; gamblers spoke about how money became currency for staying in the zone. You set yourself up alone in a machine-like pod and everything blurs away—the other people are just a kind of necessary background. People seem not to be able to do that on the couch alone.
AR : Why are slot machines so much more addictive than more traditional forms of gambling? NDS : Even though slot machines are considered to be a light form of gambling due to their relatively low stakes, ease of play and historical popularity with women, they are actually the most potent. There are three reasons why: Playing on slot machine is solitary, rapid, and continuous. AR : What do new gambling machines say about our relationship with technology? You can see that in the revenue: 80 percent of revenue in Las Vegas comes from individual encounters with slot machines rather than social forms of play around a table.