For the 2023 Super Bowl alone, an estimated $16 billion was spent on legalized gambling, including mobile apps, live casinos and other technologies. With 21 states now allowing gambling on sports, the activity is in its infancy in the U.S. The next big sporting event-NCAA March Madness, promises to add to the amount of money changing hands between sports books and fans, leading to positive tax revenues directed to State treasuries. Each State is different, with some taxing video terminals at a much higher rate than mobile apps. In West Virginia, the legislature decided to tax mobile betting at a much lower rate than in person casino betting, leaving a massive gap between them and other States like New York. This revenue gap is likely to have a significant impact on funding for education, including higher education, once the Covid relief funds from Congress expire. 

My guest today has studied the revenues and tax implications for higher education from all forms of gambling for most of his academic career. Brad Humphreys is a professor of economics at West Virginia University. His research on the economics and financing of professional sports, and the economics of gambling has been published in academic journals in economics and policy analysis. He twice testified before the United States Congress on the economic impact of professional sports teams and facilities.  He has also testified before the Massachusetts legislature and Washington DC City Council on the financing of sports facilities. 

Brad joins me for a conversation that crystalizes the challenges gambling, gaming, media and technology bring to college athletics and higher education. This is an important topic for senior leaders to get their arms around.