Photo: Wikimedia Commons
Revenues on the Las Vegas Strip were off 18.2 per cent in May, as Nevada gaming revenues fell 10 per cent overall, says the Nevada Gaming Control Board.Nevada casinos brought in $984 million in May 2011, but just $885 million this May.
This is an important economic indicator.
“When people gamble, it has to be a function of discretionary income and the wealth effect,” according to Michael Pollock, managing director of Spectrum Gaming Group. “So after people’s home values diminish and their stock portfolios shrink, they spend less on gambling.”
In addition to generating low gaming revenues, Nevada collected much less tax revenues in May. The state brought in just $52 million, a 24 per cent drop from last year.
NOW WATCH: Money & Markets videos
Business Insider Emails & Alerts
Site highlights each day to your inbox.