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13nov14 OxfordStudyNY
13nov14 OxfordStudyNY
Overview
l To quantify the statewide impacts of the commercial gaming industry for the
American Gaming Association, Oxford Economics analyzed industry
information from a variety of sources and prepared a comprehensive
measure of industry significance.
l As part of this analysis, Oxford Economics:
conducted a survey of national casino operators, gathered information
from secondary sources including gaming-sector
employment,
revenues, and expense benchmarks from Federal, state, and private
data sources; and,
calculated direct, indirect, and induced economic impacts of
commercial casinos on a statewide basis in 2013.
l This document presents key elements of the research and findings of the
statewide analysis.
Methods
l Statewide impact analysis includes:
Commercial casinos
legalized internet gaming conducted by commercial casino operators and
reported in state regulatory filings.
l Analysis excludes:
Pari-mutuel gaming (e.g. horse racing)
Slots and video lottery terminals in bars and other non-casino locations
Native American casinos
Card rooms
Gaming manufacturer revenues & employment impacts
Survey responses reporting gaming and non-gaming revenue at the property level as
gathered directly by Oxford Economics from national casino operators
Data from Casino City on the number of slot machine and table game positions at casinos
in each state
State regulatory reporting on non-gaming revenue in selected states
Ancillary Spending
l Ancillary spending includes purchases by casino patrons at retailers and
businesses outside the casino and at businesses inside the casino owned
by third-party operators.
l Existing research by the AGA indicates that the majority of casino patrons
spend time outside the casino and spend money at restaurants or shops
outside the casino during their casino trip.
l Since this casino patron spending is primarily driven by the patrons trips to
the casino, it is included in the gaming industrys direct impact as ancillary
spending.
l Estimates of ancillary spending are based on Longwoods Internationals
Travel USA survey of domestic travel in 2013.
l Analysis is limited to travelers who indicated that a casino was the main purpose
for their trip.
l Note: Each statewide input-output model accounts for the economic impacts and
various rounds of economic activity that occur within the respective state boundaries.
The input-output models do not take into account a casinos purchases of goods and
services or the spending of employee salaries and wages outside state boundaries.
For example, in the case of a casino in Pennsylvania, the resulting statewide impacts
capture the economic and fiscal benefits that occur within Pennsylvania state borders
and do not account for the positive economic and fiscal benefits in surrounding states
such as New York and New Jersey.
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Description
Total Output Impact
Total Employment Impact
Total Labor Income Impact
Total Tax Impact
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Amount
$3,656,511,253
14,602
$839,600,154
$1,323,627,092
Amount
$2,021,843,350
$1,925,565,095
$96,278,255
$94,602,654
$2,116,446,004
Description
Commercial Casinos - Direct Labor Income
Ancillary Spending - Direct Labor Income
Total Direct Labor Income
Amount
6,189
976
7,165
Amount
$321,939,672
$26,916,025
$348,855,697
Note: In some states, direct casino employment and wage information was not available from the Bureau of Labor Statistics. In
these cases, Oxford Economics modeled employment, payroll and operating costs based on survey benchmarks and data
available for each state. This approach supports consistency across states and represents a conservative estimate of industry
impacts.
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15
Amount
$2,116,446,004
$844,618,928
$695,446,321
$3,656,511,253
16
Amount
7,165
3,616
3,820
14,602
Description
Direct Labor Income
Indirect Labor Income
Induced Labor Income
Total Labor Income
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Amount
$348,855,697
$276,702,338
$214,042,119
$839,600,154
Amount
$213,525,741
$60,454,866
$36,505,942
$16,964,254
$3,067,678
$22,219,539
$74,313,462
Federal Fiscal (Tax) Impacts of the
Commercial Gaming Industry in New York
Description
Total Federal Tax Revenues
Personal Income
Federal- Corporate
Indirect Business
Social Security
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Amount
$232,395,129
$78,589,134
$37,498,323
$21,059,588
$95,248,085
Gaming Taxes Generated by the
Commercial Gaming Industry in New York
Description
Gaming Taxes
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Amount
$877,706,222
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Amount
$213,525,741
$60,454,866
$36,505,942
$16,964,254
$3,067,678
$22,219,539
$74,313,462
Amount
$232,395,129
$78,589,134
$37,498,323
$21,059,588
$95,248,085
Amount
$877,706,222
$1,323,627,092
Impacts in Context
Amount
24
Description
25
Amount
14,602
8,908,500
610
0.2%
Description
Amount
$1,323,627,092
$43,839
30,193
Note: Average school salary data is based on 2012-2013 average starting teacher salaries (by state)
from the National Education Association
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Amount
$1,323,627,092
$73,667,171,000
7,317,755
$10,067
27
$181
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