Gambling involves wagering something of value, often money, on a chance event, where skill and knowledge play a role. The vast majority of individuals participate in gambling for entertainment and diversion, while a small group become seriously involved and continue to gamble despite its substantial negative personal, family, social, and financial effects. Even in its most harmless form, gambling evokes a wide range of emotions that can lead to harmful consequences.

A significant amount of research on gambling has focused on its economic benefits and costs. Most studies are based on gross impact analyses, which attempt to provide a simple accounting of the aggregate effects of gambling in terms of jobs and income. They do not try to identify and quantify the intangible benefits and costs that are sometimes associated with gambling. For example, a casino may result in construction of wetlands that must be replaced somewhere else, which is often an intangible cost.

Another issue with gross impact studies is that they tend to use before-and-after comparisons in determining gambling’s effects and then attribute all the changes, whether positive or negative, to gambling. This can lead to misleading conclusions, because it is likely that some of the increase in per capita incomes, for instance, would have occurred anyway.

In addition, it is important to recognize that problem gambling can be a way for some people to cope with challenges that they do not know how to deal with. In such cases, it is helpful to seek out help and support from others who are also dealing with this situation. It is also important to set clear boundaries in managing the finances of a loved one who is struggling with this issue, and to make sure that they are not putting themselves at risk.