Do Urban Casinos Affect Nearby Neighborhoods? Evidence from Canada

Haifang Huang (), Brad Humphreys and Li Zhou ()

No 2014-2, Working Papers from University of Alberta, Department of Economics

Abstract: Access to legal gambling has expanded in Canada. Casinos can generate both positive and negative local impacts. We analyze the effect of new urban Canadian casinos on nearby neighborhoods in terms of population growth and composition, and housing market outcomes based on more than 40 urban casinos opened in Canada between 1986 and 2007. We define neighborhoods based on spatial proximity, and analyze impacts on changes in census tract profiles. We find no evidence that casino openings affect population growth or population composition by age, gender and martial status, or home ownership rates, and evidence that casino openings reduced unemployment in surrounding areas, and are correlated with faster growth in household income. We also find evidence of negative effects on changes in housing values and rents despite the faster income growth. The findings suggest a double-edged nature to casino openings: positive for employment and income growth but negative for residential amenities.

Keywords: casino; economic impact; amenities; employment (search for similar items in EconPapers)
JEL-codes: L83 R23 R31 (search for similar items in EconPapers)
Pages: 55 pages
Date: 2014-02-01, Revised 2014-03-01
New Economics Papers: this item is included in nep-dem, nep-fdg, nep-geo and nep-ure
References: View references in EconPapers View complete reference list from CitEc
Citations: View citations in EconPapers (2)

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Journal Article: Do urban casinos affect nearby neighbourhoods? Evidence from Canada (2018)
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Persistent link: https://EconPapers.repec.org/RePEc:ris:albaec:2014_002

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