Social impact of casino in macau
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Amongst these impacts, social impacts are regarded as more difficult to measure than others. As Oh argues, measuring the social consequences of gaming poses many conceptual difficul- ties because it is difficult to separate socio-economic from economic impacts.
There are many definitional overlaps between economic and social impacts. Despite the difficul- ties in assessing the social impacts of gaming, tourism policymakers and casino opera- tors have the responsibility to identify those impacts and develop appropriate policy and management responses to minimize the potential negative ones.
Recreation, leisure and entertainment The establishment of casinos could enhance the recreation, leisure and entertainment opportunities of the local community.
The Crown Casino in Melbourne Australia of- fers not only gaming opportunities but also other forms of entertainment, restaurants, bars, pubs and retail outlets Buultjens, Janes and Collison examined the perceptions of community leaders in India of the social and economic impacts of gaming over a five-year period, and they observed that although additional entertain- ment options such as accommodation and restaurants were available, visitors limited their participation to the gaming facility rather than attending other recreational acti- vities.
Room, Turner and IaIomiteanu , however, reported that people spent less money at other entertainment venues because of the opening of some casinos.
Some studies even find that there is no improvement or no impact on recreation options Carmichael et al.
Traffic conditions Long found that although the residents of South Dakota and Colorado gene- rally perceived casinos to have had a positive impact on employment, they also men- tioned such negative effects as traffic congestion and overcrowding.
In the case of Macao, Vong reported wor- sening traffic congestion and air pollution and overcrowding to be the major negative environmental impact of casinos perceived by residents.
Quality of life Giacopassi et al. Janes and Collison compared the statistics on pro- perty value in a gaming county and a non-gaming county.
They found that the hous- ing value in the gaming county did increase over the ten years studied, but it increased even more in the non-gaming county.
They concluded that there was no evidence that the rise in property value was tied to the expansion of casino gaming.
The studies of Long and Carmichael et al. These and other studies have found evidence that in cities with gaming facilities, residents felt a decrease in their sense of community as well as reduced overall quality of life.
For example, Long found that Colorado resi- dents were less positive when asked whether the casino made their town a better place in which to live.
Roehl reported that only one-third of the respondents agreed that legalized gambling had made their community a better place to live, although one-half of them did agree that legalized gambling had made Nevada in general a bet- ter place to live.
The results showed that residents did not perceive it as improving their standard of li- ving but instead perceived that it had increasing their cost of living.
City improvement Casino gaming in Atlantic City, New Jersey, was reported to have led to the redeve- lopment of tourist and convention facilities and improved infrastructure and tourism capacity Nicholas, Stokowski , however, observed that two of the Colo- rado gaming towns, Black Hawk and Central City, suffered from lack of planning con- trol and concluded that gaming operators had served their own interests at the expense of the residents.
As Hashimoto , p. As casinos begin to operate, they buy goods and services from the surrounding areas. Therefore, more businesses grow or develop to meet the increasing demands for products from the casino.
Many businesses will spring up to satisfy the higher incomes of the new employees. New hospitality services, such as hotels, restaurants, and rental cars, begin construction to meet the needs of the tourists, locals, and corporations.
With new busi- nesses, there are more suppliers, both in gaming and hospitality that need hospitality services. For instance, Truitt found that riverboat casinos in Illinois did not generate the anticipated tourism and economic growth.
This is because gamb- lers do not stay long enough to rent hotel rooms, or eat in local restaurants, and they purchased goods and services outside the casinos.
Oddo also reported that, four years after casinos were legalized in Atlantic City New York , the number of retail businesses in the city had declined by one-third.
The number of restaurants also dropped from to between and Just 10 percent of the small businesses near the casino locations in were still open in Social issues Stokowski studied the two Colorado gaming towns of Black Hawk and Cen- tral City and reported that crime had increased with the development of casino opera- tions.
Similarly, Long observed that residents of South Dakota and Colorado generally perceived that casinos had led to increased crime.
On the other hand, Janes and Collison reported that there was no direct tie between casino development and criminal activity. The study by Giacopassi et al.
Lo and Vong both reported less organized crime in Macao following the liberalization of casino licensing in They conclu- ded that market competition had forced local casino concessionaires to improve their management systems to minimize infiltration by triads organized crime groups.
Long observed that some communities with gaming facilities were experiencing a decrease in the need for financial assistance programs. Similarly, Hsu also re- ported that some gaming communities had experienced a reduced need for social ser- vices.
There are also studies that suggest that casinos do not lead to problem gambling Braunlich, ; Room et al.
Different results are obtained from other studies. Janes and Collison observed that problem gambling had increased in the community over the five-year time frame from to Community leaders also reported increasing challenges to com- munity social and child neglect issues over the study period.
Long found that there were increasing demands for child protection, marriage counselling, and other social service programmes in gaming communities.
They also observed that the casino added stress to individuals with existing finance, drink- ing, and family problems.
It has a total land area of As a tourist city, Macao is famous for its gaming facili- ties. It is the only place in China where gambling is legal.
Macao is also famous for its rich cultural heritage. The number of tourists grew from 9. The casino gaming sector, in particular, has expanded rapidly.
Casino operators in- creased from only one in to three in managed by six companies. As a result of the rapid development of casinos, tourism and infrastructure, there has been a sharp rise in em- ployment opportunities.
The unemployment rate dropped significantly from 6. The total employed population also rose from , to , in the same period. Growth in employment was particularly rapid in the gaming related sectors.
The percentage of people employed in the hotel, entertainment and gaming industries rose from The number of people working in the gaming sector alone doubled from 21, in to 43, in the second quarter of , according to statistics from the Labour Affairs Bureau DSAL, While the boom in casino gaming in Macao has brought tremendous positive eco- nomic benefits, at the same time it has created many social consequences to the com- munity, both positive and negative, which have been separately reported by different scholars.
Methodology This study aims to examine the social impacts of the boom in casino gaming in Mac- ao from to The literature review above provides a framework for evaluating the social impacts, which include evaluating the impacts of casino gaming on recreati- on, leisure and entertainment opportunities, crime, traffic conditions and crowding, quality of life, city landscaping and infrastructure, small business development and social problems.
Primary and secondary sources of data were used to measure both the positive and negative impacts in order to give a more objective measure and under- standing of those impacts.
This method is commonly adopted by many other gaming and tourism impact studies Teo, ; Moufakkir, We collected data from a variety of sources including the existing studies of tourism development and gaming impacts in Macao, material published in journals, books and working papers, govern- ment statistics and reports, newspapers and magazines.
The results obtained from these sources were then synthesized and compiled and presented in the tables and figures below.
The personal incomes of Macao residents overall have also increased. Improved urban landscape, infrastructure and public facilities Casino gaming development in the past few years also accelerated the construction of the Light Rail Transit system LRT.
In , the proposal to build the LRT was passed, after more than 10 years of community debate on the issue. Expected to be completed in , this project is considered as a solution for shortening the travelling time and distance between Hong Kong, Macao and Zhuhai.
More entertainment and recreation facilities Casino development has also led to more entertainment and recreation facilities in Macao. The number of entertainment and recreation facilities has increased significantly.
Not only did the number of casinos increase from only 24 in to 31 in , but also the numbers of restaurants, bars, sauna and massage premises and karaoke venues jumped from to within the same period Macau Government Tourist Office MGTO , Table 1.
The number of public performances and exhibitions in Macao grew from in to 13, in , and sports facilities increased from to Go- vernment Information Bureau of the Macau Special Administration Region, ; see also Suntikul, New and modern casino resorts also bring new shopping experi- ences to the locals and to tourists.
This may imply that the entertainment opportunities are enhanced due to the expansion of casino gaming facilities and the visitors are willing to spend more on entertainment.
The drop-out rate is particularly high among junior high school students Se- condary 1 to Secondary 4 Table 3. The main reason for this was good employment prospects in the gaming industry, and in particular the low educational level required for relatively well-paid jobs in casinos, such as dealers.
Only around two-thirds of stu- dents of secondary school age manage to complete their secondary education, accor- ding to the Education and Youth Affairs Bureau DSEJ, DSEJ The prevalence of problem gambling Another negative social impact is the prevalence of problem gambling.
According to two surveys conducted by the Institute for the Study of Commercial Gaming at the University of Macau, the percentage of problem gamblers increased from 4.
The problem in the two neighboring cities of Hong Kong and Singapore is less acute. Higher crime rate A high crime rate is another concern of the community.
Since the liberalization of ca- sino licensing in , crime in Macao has increased drastically, from incidents in to 13, in It has also grown rapidly since , when the Individual Visitation Scheme IVS was implemented to enable more visitors from China, and the completion of all the major casinos in Table 4.
In particular, it is noted that the incidence of gambling-related crimes has increased by Judiciary Police of the Macao SAR Uncontrolled development and reduced pubic leisure and green spaces The gaming companies require a good deal of space for their new casino-hotels and if their needs are to be met, other important interests have to be sacrificed.
In the past, great swathes of prime public land have been eaten up by real estate and gam- ing interests. The government justified its deci- sion by stating that many concessions had already been made to build new casinos and it was necessary to take account of their needs.
Only the race-carting track and a small golf course remain untouched, because they are built on land reclaimed from a garbage dump. Traffic problems A report released by the Inter-University Institute of Macau IIUM, on quality of life in Macao concluded that transportation was the issue causing the greatest dis- satisfaction among locals.
According to the DSEC c , the number of licensed motor vehicles increased from , in to , in , with the highest growth rate recorded between and , when large casino resorts such as the Sands , Wynn and Venetian opened.
Casino shuttles are blamed for the increase in the number of vehicles as well as air pollution. Vehicle traffic also increased tremendously, realizing growth rates of In an attempt to generate revenues for the government, gambling in Macau was legalised around In the late 19th century, the government introduced a licensing system for the fantan houses Chinese gambling houses.
It is reported that over gambling houses were required to pay gambling rent to the government. During this transition, there were no changes to gambling policy in Macau.
Today, there are 16 casinos operated by the STDM, and they are still crucial in the casino industry in Macau. The percentage remained steady until the late s.
Then there was a 9. In , the government signed concession contracts with two Macau gaming companies, Wynn Resort Ltd. This opened the gambling market for competition and increased government tax revenue significantly.
It also attracted more tourists to Macau. However, the gambling industry is also a source of instability in the Macau economy, as the nature of gambling business is not susceptible to technological advancement or productivity growth.
The gambling business is still dependent on the prosperity of other Asian economies, especially that of China. Macau has 38 casinos as of , of which the biggest is The Venetian Macao.
Twenty-three casinos are located on the Macau Peninsula and ten on Taipa Island. They all operate under a government franchise and under a common set of rules.
A wide range of games are available, including roulette , blackjack , baccarat , boule , Sic bo , Fan Tan , keno and slot machines.
Poker was introduced only in August , in an electronic table format at Galaxy Starworld casino. In February , Grand Lisboa Casino added the first live-dealer cash game tables.
Other than casinos, there is betting at the Macau Jockey Club and the dog-racing Canidrome. The race-course has an area of , square metres and 18, seats for gamblers, and is open only for people over 18 years of age.
In , it was acquired by a consortium led by Stanley Ho. The Macau Jockey Club is one of the largest private employers of Macau with around 1, employees and around 1, part-timers.
There are over betting terminals "on-course". All terminals can perform sell and pay functions. Punters may bet in Hong Kong dollars or Macau patacas.
Bets are accepted up to the start of each race. Punters may place a bet by oral instructions or by filling a ticket. There are over 80 betting terminals in the Off-Course Betting Centres.
The Internet betting service commenced on 20 September There are over telephone service terminals and a total of over 38, telebet accounts.
The winning dividend of account holders may at their instructions be automatically transferred to their bank accounts. Launched in June , the personal betting terminal, FAT Fast Access Terminal offers betting, calculation of bet units, record tracking of bets, account enquiry, withdrawal instructions and other related information on races such as declaration and race-odds.
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