The official lottery is a game of chance operated by state governments or by private lotteries. It is the most common form of government gambling and is a source of revenue for state programs. The prizes are typically cash, but some states award merchandise or services instead of money. Lottery participants are required to be at least 18 years old and must be located in the state in which they play.

During the fourteen-hundreds, numbers games were popular throughout Europe, providing funds for town fortifications, public welfare, and other civic projects. They were also the basis for many gangster operations. By the 1800s, these abuses began to turn people against lotteries in general, strengthening opponents’ arguments. Eventually, the public’s moral sensibilities and fears of corruption drove lotteries out of business.

Today, state lotteries offer a variety of games, including three-digit and four-digit lotto-style games, instant tickets, keno, and video lottery terminals. Some have multiple games and jackpots, and others feature a single multi-million dollar prize. Some lotteries use a system of commissions to distribute winnings. Others use a central office to verify and pay prizes.

While defenders of the lottery argue that players understand how unlikely it is to win, the reality is that the industry is highly responsive to economic fluctuation. Cohen notes that lottery sales increase as unemployment rises and poverty rates increase; the sales spikes are partly structural, but also fueled by exposure to advertising, which tends to target poor neighborhoods. And, as with all commercial products, lotteries are fully aware of the psychology of addiction. They are not above availing themselves of the same marketing strategies used by cigarette companies or video-game manufacturers.