Social impact of casino in macau

social impact of casino in macau

4. Jan. Mar 11, "We realized the excessive supply (of slot machines) was having a negative impact on society and could turn everyone against us,". Nov. Rules in Macau's casinos have mellowed considerably since the arrival of American Triad involvement in Macau casinos makes a serious. März Aug 16, Taiwan is considering placing a hefty bet on casinos, an official said on Wednesday, hoping a little bit of luck enjoyed by nearby Macau.

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 Traffic congestion is the result, as road building has not kept pace.

A recent report by the Transport Bureau reveals that between the beginning of and September , although tourist and vehicle numbers grew by Increase Increase Increase , -- 8, -- 2,, -- , 1.

DSEC c Impose constraints to small business development The expansion of the casino businesses also affects many small businesses, which make up about 95 percent of all businesses in Macao Jornal Do Cidadao, It increased by 10 percent and Small businesses suffered as many tourists and local people were attracted to visit and spend in the new, modern and high-quality entertainment facili- ties.

While the expenditure of non-residents in the gambling sector reached a record high growth rate of This also implies that although the overall tourist expenditure has increased over the recent past as discussed previously and has shown in Table 2 , tourists seems to spend more in the gaming sector than in the non-gaming SMEs.

SMEs also suffer from a severe shortage of workers. Casino conces- sionaires are willing to pay high salaries to attract qualified staff.

Their income in and ranked second among all sectors, just behind the public administration sector Table 6. Because of the higher salaries they offer, casinos have been blamed for taking workers away from other employment sectors, even professio- nals from the banking and insurance sectors.

The number of those who changed their jobs went up from 25, or 9. Recreational, cultural, gambling and other services are the most pop- ular industries for the job changers DSEC, d; see also Suntikul, The survey is based on categories such as climate, air quality, health services, housing and utilities, social network and leisure facilities, infrastructure, personal safety and political tension.

A report by the Macao Meteorological and Geophysi- cal Bureau SMG, also indicates that there has been a slight increase in the air quality index since Although it remains in the moderate range below , this tendency indicates that the air in Macao will become more polluted, damaging local quality of life and affecting the life expectancy of the population.

Property prices have risen faster than average salaries, and casino development is con- sidered to be the main driver to the property market Vigers International Property Consultants, High cost of living and residual prices are other issues.

There is a continuous increase in the inflation rate since , from The price indices of food and non-alcoholic beverages, health and clothing, went up by According to the Problem Gambling Prevention and Treatment Center, since its hotline counseling service started in , it has received phone calls, and or Discussion and This study has examined the social impacts of casino gaming in Macao from the libe- conclusion ralization of casino licensing in to , using qualitative research.

The results show that, similar to other impact research, the community has experienced a num- ber of social impacts in the past few years.

The drawbacks include; uncontrolled urban development, the re- duction of public leisure and green spaces, heavy traffic and traffic congestion, the high drop-out rate among students, increases in problem gambling, crime, and the demand for counseling services and public health treatment, the deteriorating quality of life, and finally the trade of local small business ventures being stolen by larger casino busi- nesses.

It can be concluded that the expansion of casino gaming in Macao has brought several social benefits, but there are more negative impacts than the positive ones, hence it appears that the challenges outweigh the benefits.

In order to obtain a high level of community support for casino gaming development, the government, casino operators, academics, local community and community leaders have to try their utmost to minimize the negative impacts of gaming to the communi- ty.

This study has several implications for tourism and social development. First, school dropouts have been increasing in recent years because of the high and attractive wages offered by casinos.

It is believed that a recently announced govern- ment policy of increasing the minimum age of casino workers from 18 to 21 years of age could help keep the young people in school.

It is equally important that parents, teachers, social workers and the government should coordinate their efforts in encou- raging young people to stay in school.

Second, faced with the escalating rate of problem gambling, the government, acade- mics and casino operators have to join hands to plan and launch gambling prevention programmes.

Casino operators should also exercise their social responsibility by putting more effort into identifying potential problem gamblers on the gaming floor and providing them with necessary information and advice.

Third, Macao needs better town planning. A sound town planning system coordinates all the different requirements of land use, transportation, employment, environment, and heritage protection into a town plan in a systemic manner.

It provides a guideline for both public and private development United Nations, A comprehensive urban master plan and development guidelines i.

Fourth, Macao needs to improve its transportation immediately, as people in the co- mmunity have expressed a lot of dissatisfaction over traffic problems and air pollution.

For the long term, the government already has plans to construct the Light Rail Transit to help bring tourists en masse from the border gates and ferry ports to the major en- tertainment facilities.

However, some short-term solutions to alleviate the existing traf- fic problems must also be put in place, such as encouraging more residents and visitors to walk and providing visitors with a clear indication of which buses to take to travel directly between the ferries and border gates and their destinations in Macao.

Immediate attention and effort should therefore be paid to enhancing their ability to compete with the larger casinos, such as financial subsidies and practical business training courses to strength their internal capabilities.

For many local residents, especially young couples, owning a flat is not easy. If the basic housing needs of the local residents are not met, greater dissatisfaction toward the government and tourism development will be the result.

Given the limited supply of land in Macao An articulated and clear housing policy and the right balance of the provision of public and private housing is also necessary in order to meet the different housing aspirations and needs of the residents of Macao.

Finally, we agree with the recommendations of Back and Lee that policy mak- ers should identify the best methods for presenting and communicating the benefits of casino development to local residents.

Community leaders also play an important role in communicating with policy makers on the needs of the entire community. As with other research, this study is not without its limitations.

First, although the qualitative method we adopted has a number of advantages, additional insights could be gained by quantitative methods such as surveying a large number of local residents to collect their views on the impacts of gaming.

Finally, this study focuses on the social impacts of casino gaming, but we believe that an evaluation of the economic and environmental impacts is also necessary to provide a holistic understanding of the impacts of the expansion of casino gaming on the community.

The Kangwon Land Casino Case. Economic impacts of Native American Casino Gaming. The Economic and Social Impact pp. Lessons from the Atlantic City casino experience.

Journal of Travel Research, 34 3 , Wage determination in NSW and Queensland clubs. Journal of Hospitality and Tourism Administration, 7 , Mega resort on my doorstep: Local resi- dent attitudes toward Foxwood casino and casino gambling on nearby Indian reservation land.

Central Intelligence Agency Retrieved March 22, , from https: Estimating benefits and costs of casino gambling in Iowa, United States. Jour- nal of Travel Research, 26 2 , Gaming Inspection and Coordination Bureau.

Retrieved September 15, , from http: Retrieved January 12, , from http: Retrieved May 10, , from http: Macao Statistics and Census Service.

Retrieved Janu- ary 12, , from http: Education and Youth Affairs Bureau. Retrieved April 5, , from http: Environmental Council of the Macao Government.

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Louis review, 86, Journal of gambling studies, 15 2 , What does a casino mean to a tribe? Assessing the impact of casino development on Indian reservations in Arizona and New Mexico.

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Journal of Travel Research, 38 4 , Casino Industry in Asia Pacific: Visitors are made up largely of Chinese nationals from mainland China and Hong Kong.

With the entry of large foreign casinos from Las Vegas and Australia , Macau overtook the Las Vegas Strip in gambling revenues in Until Western-style casino games were introduced in the 20th century, only Chinese games were played, the most popular being Fan-Tan.

Generally, gambling in Macau can be divided into one of four categories: At the present time, Macau does not license online gambling operations.

Macau, a special administrative region like Hong Kong , is the only place in China where casinos are legal, and the business has grown at an astounding pace since the government ended the four-decade gambling monopoly of the Hong Kong billionaire Stanley Ho in 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.

Close to 1, customers are currently using FAT. These races are held on Mondays, Thursdays, Fridays and weekends starting from 7: The casino industry is viewed by some as harmful to society.

With the growth of the casino industry, a business called "bate-ficha" was developed and it is usually run by different triad societies.

Bate-ficha involves selling customers "dead chips" that cannot be exchanged for cash in the casinos, but only by bate-ficha men or women, who are officially known as "gaming promoters" or "middlemen.

Triad involvement in Macau casinos makes a serious social impact on the local area. It attracts the attention of Chinese gangsters, whose deadly battles over the fortunes to be made from racketeering and extortion in the territory are a continuing problem.

As different triad societies compete for controlled territory in the casinos and on the streets, disputes between societies occur from time to time.

These are often settled in violent ways. Even worse, triad societies have grown so powerful in Macau that there was a trend that people tried to seek help from these societies rather than from the police.

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