Many states chose to legalize different forms of gaming for the purpose of capturing economic benefits. While many states or communities reaped these benefits, many have also began to experience the social consequences. From the review of other states' experiences and the economic impact analysis for Hawaii, there is clearly a point that needs to be emphasized. From an economic impact standpoint alone, these two forms of gaming can produce positive gains to an economy. But there is great uncertainty over the magnitude of the social costs.
Gaming includes the risk of having social problems of crime and pathological gambling.
The fiscal costs to mitigate and address these problems could be high enough to countervail the benefits. Further, there is uncertainty over the application of the Indian Gaming Regulatory Act to expand the forms of gaming allowed in Hawaii beyond shipboard gaming and pari-mutuel horse racing. Therefore, in legalizing shipboard casinos, pari-mutuel horse racing, or other major gaming activities, it is prudent to point out that the major reason for a state to consider gaming is not for its economic development or tax revenue potential. Rather, a wise and judicious government will legalize gaming primarily because it is socially and morally acceptable. If it is an activity that society accepts and enjoys as part of its lifestyle, then this should be the basis for legalizing gambling.