Lottery is a form of gambling in which numbers are drawn at random and those with the winning tickets win prizes. It’s an ancient practice, with many occurrences in the Bible. But it’s also a modern, popular activity, with Americans spending more than $80 billion a year on tickets. Approximately 30% of those tickets go to fund important state programs, like education and veterans assistance. The problem is that lottery is also a form of advertising, and critics charge that the way it’s promoted often misleads consumers.

A lot of people play the lottery with a clear understanding that they are not going to win, but they still feel a sliver of hope that somebody has to win someday, and that their ticket is somehow lucky. That’s why so many of them have quote-unquote systems, like playing certain numbers or buying their tickets at particular stores and times of day.

But what many people don’t realize is that, even in the extremely rare case of a win, there are huge tax implications. And, in the end, most of those who win a large jackpot are bankrupt within a few years.

As a result, many states are now grappling with two major questions about lottery: first, whether it is appropriate for them to promote gambling at all; and second, how best to do so. The answers to both questions are complex, but they’re worth exploring. After all, state governments want to make sure that their lottery proceeds are spent wisely.