History of the Lottery
Generally speaking, lottery games are organized by a governmental entity. They come in a variety of formats, with different payouts and odds. Some draw games only sell in certain states, while others are offered across the country.
The first lottery games on German soil were held in Hamburg in 1614. These were also a means of raising money for local towns and cities. Lottery proceeds funded town fortifications.
In the 15th century, lotteries were used in the Low Countries to fund public services and charitable causes. In 1567, Queen Elizabeth I chartered the first lottery in England. It designated profits for “reparation of the Havens” and “strength of the Realme”.
In the 16th century, lottery games were introduced in various towns. In 1751, the first large lottery on Austrian soil was drawn during the reign of Empress Maria Theresia. It was named Lotto di Genova.
Throughout the 1960s, state governments began to struggle to balance their budgets. They sought ways to increase revenue, but were hesitant to raise taxes. They were also searching for budgetary solutions that would not anger taxpayers.
In the early 1970s, states began to experiment with scratch-off tickets. These tickets are designed to offer players instant results, and typically pay less than draw games. Typically, the payout is fixed. The prize pool is money earned from sales.
In 1976, every state lottery jumped on the scratch-off bandwagon. As a result, ticket sales began to soar across the country.