Ex-Presidential Candidate Sees Economy as Boon to Online Casinos
Bob Barr, who was the Libertarian Party's candidate in last fall's Presidential election, says the sour state of the economy and the resultant need for revenue by the federal government may be key to passing bills regulating online casinos. Barr, writing in the Atlanta Journal-Constitution, says the bills proposed by Barney Frank, Jim McDermott, and Robert Menendez are beginning to generate a definite buzz among Washington insiders.Barr notes that the bills will be reviewed in Congress as much, if not more, for their potential to bring in billions of dollars as the moral principle of individual freedom.
"The economics of taxing Internet gambling are indeed impressive," says Barr, noting that simply placing a 2 percent licensing fee on Internet gambling would generate over $5 billion a year for US coffers. Further, state governments will also have the option to tax the online casinos, creating more political pressure to regulate the Internet gaming industry.
Barr notes that federal laws do not outlaw online gambling, but still create a problem by confusing and blocking money transfers. He says that by emphasizing the path of money movement, it makes sense that the US would use the same route to regulate the industry.
"Moralists and business that see online gambling as competition can be expected to continue to oppose efforts to resuscitate the Internet gambling industry," says Barr. Those groups may have succeeded in passing laws on Internet gaming in the past that did not truly reflect the public will, but Barr says conditions have changed.
"The poor economy and profligate government spending, may have become their most serious adversaries," the libertarian concluded.
