Lottery is a form of gambling in which tickets are sold and prizes are awarded by chance. The casting of lots for decisions and determination of fates has a long history in human society, but lotteries in the modern sense of the term have only been around since the 16th century. In its modern incarnation, state lotteries are generally run by private companies, who collect revenues from people who buy tickets for the chance to win money or goods. Almost all states have legalized state lotteries, and they typically have broad popular support.
State lottery operations are similar to traditional raffles, with the public buying tickets for a drawing at some future date, often weeks or months away. But innovations in the 1970s have transformed the industry, with ticket prices much lower and prize amounts significantly higher than those of traditional raffles. The industry has also grown by introducing games such as scratch-off tickets and electronic games that are played online. These games have expanded the market and attracted a younger generation of players.
Lottery proponents argue that the proceeds help the state and benefit education, among other things. They also point to the fact that state lotteries have a remarkably high level of public approval, even when the objective fiscal conditions of a state are good. These arguments are especially persuasive in times of economic stress, when the possibility of tax increases or cuts to essential services is greatest.