Let’s start with a definition. What is gambling? Gambling is betting on a thing that may or may not happen in the future. As we gamble, we take a risk, choose an uncertain outcome, and bet on it. Gamblers bet on casino games, horse racing, and sports where the result cannot be predicted with certainty. Some individuals will bet on anything. Remember the Seinfeld episode where Kramer bet on the arrival and departure times of airplanes at a new York City airport?

How is gambling different from buying stocks and bonds? Stocks and bonds will be considered investments and not gambles because we can reasonably anticipate to come out ahead within the long term. They may be risky although not within the same sense as gambling.

How is gambling different from buying coverage? When we buy coverage, we are betting on an issue that may or might not happen in the foreseeable future. We do not want to take the risk which it shall happen, so we pay somebody else (the insurance company) to take the risk for us. When we buy homeowner’s coverage, by way of example, we are betting our house will burn down and the insurance coverage company is betting it won’t. (Of course we hope we won’t win this bet.) This isn’t gambling because the risk can be calculated. The insurance coverage company uses all kinds of statistics to analyze the probability of our house burning down and fixes the premium we’re going to pay accordingly.

People have gambled since ancient times. On the other hand, society never approved of it because it was labeled an effort to get money without doing work for it. Society believed that serious effort should pave the way to financial success. It wasn’t until the late 1960s that states (except for Nevada which had legalized all forms of gambling earlier) started to run lotteries to raise money for worthwhile causes.

So why do we gamble despite the fact that we have been unlikely to win within the long run? We gamble for the excitement of the uncertain outcome. Some gamble to try to make their financial dreams come true. A lot of people gamble for entertainment or enjoyment, for example a night out with friends at the casino or a bingo game for quality online football a charitable organization or perhaps a lottery ticket. Some think they may beat the odds and earn money out of gambling. You will discover folks that gamble because they simply love the challenge. They look at gambling as a game of skill or problem-solving and they are sure also they can win. Some like the environment or even the thrill of a possible big win, or perhaps the adrenaline rush of taking a chance. Casinos allow us to socialize and pass some time. You can find no clocks in a casino; we lose track of time; we forget all our troubles. It’s like a therapy session! If we are timid, we will go to a casino and boldly take chances.

Occasional gambling might be a relaxing form of entertainment but be mindful not to get addicted. Addiction may lead to obsession. You might lose control and become so fanatical that you may ruin you life or suffer other catastrophic consequences. So if you gamble, be sure you set limits and keep to the limits you’ve got set.