Voting with a Hand on the Bible and Not on the Wallet: The 1996 Video Poker Referendum in Louisiana

In: The American journal of economics and sociology, Volume 66, Issue 3, p. 571-591

Abstract

Abstract.  The 1996 gambling referendum in Louisiana provided a unique opportunity to study voters' preferences. At the time of the referendum, video poker machines legally operated in all of Louisiana's 64 parishes (counties). Video poker was voted down in 31 parishes and retained in 33 parishes. Voters also allowed the New Orleans land‐based casino and 15 riverboat casinos to continue their operations. The extant horse racing and pari‐mutuel betting were not voted on.We examine the economic, demographic, and religious factors that influenced how people voted on the issue of legalized video poker. This study is of interest because in recent years, legalized gambling has been expanding around the world. We know of no other referendum on gambling that covered an area as large as an entire U.S. state—all of Louisiana—and offered voters control over gambling in their locality.Months before the 1996 referendum, the news media suggested several factors that might determine the outcome of the vote. The media concluded that concern over jobs would be the major influence on the outcome. Other important factors included a campaign against gambling by Southern Baptist churches and the simultaneous national presidential election. We investigate whether these factors, along with demographic factors such as age and education, influenced the results of the gambling referendum.Surprisingly, we found no clear evidence that the economic health of a parish or the preexisting size of its gambling industry determined the vote. The presence of Southern Baptists in a parish increased the likelihood that gambling would be voted down. Democratic voters tended to vote for gambling, as did black voters. Age and education levels of voters did not appear to influence their votes on gambling. Voters in parishes that bordered other states were more likely to retain gambling. Overall, it appeared that personal values were more important in determining voter behavior than financial considerations. People were voting with their hearts, not their pocketbooks.