ALABAMA A&M and AUBURN UNIVERSITIES

AUBURN, MAY 7---The National Gambling Impact Study Commission recently released a statement saying, "after decades of growth, lottery sales are slipping because of competition from video gambling and casinos.

Fifteen states recorded lower sales last year than in 1996, and 10 were down last year compared to 1997."

Hailed as a pain-free alternative to taxes, lotteries are feeling the squeeze of market and political forces.  Overall ticket sales grew by only 0.4 percent last year --  the smallest increase since states introduced lotteries three decades ago -- according to LaFleur's Lottery World, which tracks such statistics.

There are signs public interest is waning as states try to squeeze more profit out of the games.  Further efforts to boost slumping sales could be hindered by the National Gambling Impact Study Commission's report which is due to be released in June.

Commission members were struck by the findings of Duke University professors Charles Clotfelter and Philip Cook. The professors authored the 1989 book on lotteries titled Selling Hope.  They found 5 percent of lottery players account for 51 percent of all sales, and spend an average $3,500 on tickets a year.

Spending $3,500 a year on lottery tickets averages $291.67 a month.  If this monthly amount were placed into a 401k or husband and wife IRA retirement account at 11 percent interest (average of all stocks over the past 75 years), the lottery players would have $252,480 in just 20 years and $817,994 in 30 years.

Chances of winning the lottery are one in 12 million.  If everyone who played the lottery saved and invested their money instead, they would all win a financially secure retirement.

SOURCE:  DR. FRED WADDELL, Extension family resource management specialist, Alabama Cooperative Extension System, (334) 844-3244.