Socio‐demographic determinants of gambling participation and expenditures: evidence from Malaysia

Abstract

This study examined the socio-demographic determinants of participation and expenditure decisions on gambling among non-Muslim households in Malaysia using data from the 2005-2006 Malaysian Household Expenditures Survey. Heckman's sample selection analysis was used to obtain consistent (unbiased) empirical estimates for the regression equation of gambling expenditures in the presence of censoring (observed zeros) in the dependent variable. Marginal effects were also calculated to further explore the effects of socio-demographic variables on the probability and levels of gambling expenditures. The results indicated that non-Muslim households in Malaysia who are more likely to participate and spend more in gambling include Chinese, affluent, male-headed, younger and non-white collar households. Specifically, households of Chinese descent have higher gambling probabilities and expenditures than Indians and those of other ethnic backgrounds. While education reduces and age increases the likelihood and expenditures of gambling among Chinese households, these effects are non-extant for Indians and other ethnic groups. Higher income and male-headed households were more likely to partake and have higher expenditures in gambling among all non-Muslim ethnic groups. Finally, Chinese and Indian households headed by a white-collar worker have lower gambling likelihoods and unconditional expenditures than their blue-collar cohorts. Based on these results, several anti-gambling policies were suggested to target those more likely to participate and spend more in gambling activities.

Gambling Consumers in Thailand

“…In regard to gender, several studies have reported a negative association between female head of household and the likelihood of household gambling (Sawkins & Dickie, 2002;Tan et al, 2010). However, our study shows that this factor is not important in gambling consumption in Thailand meaning: there was no significant difference in terms of gambling consumption between households with a male head and those with a female head.…”

“…In summary, the Treenet results suggest that the likelihood of gambling consumption is higher for households with an income of more than 25,000 Bahts per year (while results reported by Tan et al, 2010) suggesting that the likelihood of gambling increases as household income increases), located in the North, with a Buddhist head of household, a head of household with active work status (which is similar to results reported by Sawkins & Dickie, 2002), with a head between 35 and 55 years old (while results reported by Sawkins &Dickie, 2002 andTan et al, 2010), which suggest that older age increases the likelihood of gambling), with household expenditure of more than 500 Bahts on alcohol consumed at home, with household expenditure of more than 100 Bahts on tobacco, and a head of household with a low level of education (in line with results reported by Sawkins &Dickie, 2002 andby Tan et al, 2010).…”

“…Their results show that age, ethnicity, and household composition each has a strong influence on the probability that a person will gamble, although the extent of the influence varies considerably across the gambling categories. Further, Tan et al (2010) investigated factors associated with participation in gambling and expenditure in Malaysian households and found that non-Muslim households in Malaysia who are more likely to participate and spend more in gambling include Chinese, affluent, male-headed, older and non-white collars. According to the study, education and age play an important role in determining how likely Chinese households are to participate in gambling activity that is lower education and older population have higher likelihood to gamble.…”

Problem Gambling, Gambling Correlates, and Help-Seeking Attitudes in a Chinese Sample: An Empirical Evaluation

“…These detrimental effects of PG affects both problem gamblers and their significant others (Raylu & Oei, 2002). Furthermore, the availability and legalisation of gambling activities in various countries (e.g., recent legalisation of gambling in Singapore) perpetuates the frequency and severity of gambling-related social issues among the Chinese and has raised concerns among practitioners and governmental authorities (Tan, Yen, & Nayga, 2010). It is also not uncommon to encounter anecdotal media coverage on PG among Chinese individuals with speculations of prostitution and drug-dealing to repay debts, and parental neglect of young children stemming from gambling addiction (Blaszczynski, Huynh, Dumlao, & Farrell, 1998).…”

Consumer behaviour in the scratch card market: a double-hurdle approach

“…more money to spend per member of household) than those with lower ones. Several other studies have confirmed such a positive link Layton & Worthington, 1999;Tan, Yen, & Nayga, 2010). Then again, a low-income individual might regard gambling as an investment opportunity rather than entertainment.…”