1. Hira, CFCS Gambling Conference 31, 1996 1 Gambling: Impact on Work, Family, and Family Finances Tahira K. Hira, Ph.D., CFP, Professor, HDFS Iowa State University

2. Hira, CFCS Gambling Conference 31, 1996 2 Back ground u According to Volberg studies (1995, 1989) –since 1989 there has been a significant and substantial increase in the prevalence of problem gambling in Iowa. u She concluded: –between 10,000 & 31,000 are currently probable pathological (compulsive) gamblers, and –33,000 to 62,000 Iowans are “problem gamblers.”

3. Hira, CFCS Gambling Conference 31, 1996 3 u To ascertain the use of credit cards and level of credit card debt among gamblers. u To ascertain the impact of gambling on work, family relations and family finances. Objectives

4. Hira, CFCS Gambling Conference 31, 1996 4 Sources of Data u Quantitative: 1086 participants of CCS Des Moines educational sessions u Qualitative: Six members of gambling anonymous group in Des Moines

5. Hira, CFCS Gambling Conference 31, 1996 5 Sociodemographic Characteristics u Female 55% u Mean Age 38 yrs. u Mean yrs. of edu. 14 yrs.  Single 54% u Mean H.H. Size 3

6. Hira, CFCS Gambling Conference 31, 1996 6 Economic Characteristics u Employed 64% u Mean Income $24,169 u Mean # of credit cards 3 (Max = 21) u Mean credit card debt $7,082 u Had ATM cards43% u Had consolidated loans:55%

7. Hira, CFCS Gambling Conference 31, 1996 7 Yes = 55% No = 45% GAMBLING STATUS

8. Hira, CFCS Gambling Conference 31, 1996 8 Male/Female Gamblers: Differences by Age  2 = p <.08

9. Hira, CFCS Gambling Conference 31, 1996 9 Male/Female Gamblers: Differences by Marital Status  2 = 12.87, p <.002

10. Hira, CFCS Gambling Conference 31, 1996 10 Differences between Gamblers & Non-Gamblers u Income u No. of Credit Cards u Total Debt u No. of Consolidated Loans u Age by gender Statistically Significant Differences

11. Hira, CFCS Gambling Conference 31, 1996 11 Mean Income u Non-Gamblers$24,875 u Gamblers$23,656

12. Hira, CFCS Gambling Conference 31, 1996 12 Income  2 = 21.21, p <.001

13. Hira, CFCS Gambling Conference 31, 1996 13 Number of Credit Cards  2 = 108.10, p <.000

14. Hira, CFCS Gambling Conference 31, 1996 14 Mean Credit Card Debt u Non-Gamblers$ 9,961 u Gamblers$13,055

15. Hira, CFCS Gambling Conference 31, 1996 15 Total Credit Card Debt  2 = 170.62, p <.000

16. Hira, CFCS Gambling Conference 31, 1996 16 Gamblers’ Debt by Age *1 = $1-1000; 2 = $1001-5000; 3 = $5001-9000; 4 = $9,001-15,000; 5 = $15,001 - 25,000; 6 = $25,001 or more  2 = 56.82, p <.0002

17. Hira, CFCS Gambling Conference 31, 1996 17 Credit Card Debt Respondents without Income % Mean DebtMax. Debt Non- gamblers 3$7,767$32,000 Gamblers 7 $11,526$55,000

18. Hira, CFCS Gambling Conference 31, 1996 18 Number of Consolidated Loans  2 = 56.82, p <.0002

19. Hira, CFCS Gambling Conference 31, 1996 19 Number of Consolidated Loans by Age for Gamblers  2 = 49.08, p <.000

20. Hira, CFCS Gambling Conference 31, 1996 20 Gambling : u How does it start ? u Why do people gamble? u How does it affect: –work –personal and family life –family finances

21. Hira, CFCS Gambling Conference 31, 1996 21 Qualitative data: u Responses from six members of gambling anonymous group u Questionnaires and personal interviews

22. Hira, CFCS Gambling Conference 31, 1996 22 u “I started out maybe a couple of times a week, towards the end I was gambling almost every day.” u “I started with playing for small amounts of money ($2 to $5), and it got to the point I had to go to the bank before going to play golf. I had to have more money just in case I lost.” How does it start?

23. Hira, CFCS Gambling Conference 31, 1996 23 “I generally didn't walk into Prairie Meadows with less than $3,000... I would cash advance my credit cards, it was costing me $95 to get $3,000.” Gambling and Finances

24. Hira, CFCS Gambling Conference 31, 1996 24 u “I had about $25,000 in credit card debt, two small loans for about $6,000, I took out $1,000 from my life insurance policy, and borrowed $6,000 from my two sisters.” u “I owed $37,000 on four credit cards.” Gambling Debt...

25. Hira, CFCS Gambling Conference 31, 1996 25 u “it was to the point where I considered taking my life...I was worth more dead than alive...it’s then I realized I had to change...” u “family relations were destroyed irreparably, principal casualty was lack of trust...“ u “I isolated myself from everyone..” u “I ended up in divorce...” Impact of Gambling on Family Life

26. Hira, CFCS Gambling Conference 31, 1996 26 Gambling and Work u “I stole from my employer...” u “I used to call in sick, then go to the track...if I had lost a bunch of money the night before believe me I was not thinking about work that day....”

27. Hira, CFCS Gambling Conference 31, 1996 27 Time that was spent on gambling... “ When I quit gambling, I had so much time on my hands..... u I discovered the library, u I took my kids to the botanical gardens for the first time, u I do things with my wife, u I enjoy going home, u I enjoy going to work.”

28. Hira, CFCS Gambling Conference 31, 1996 28 Conclusion... u Gambling is an important issue u It effects family well-being –economic and overall –it also influences work place u there is no argument that: – more people in Iowa are gambling, and –more people are facing problems due to gambling.