Rise of Casino Capitalism
Background of Casino Industry in United States
In the United States, especially in Las Vegas, it was widely considered that the casino industry was recession-proof until the recession of 2007 began. As a result of the faltering economy, it appeared to be one of the few tourism sectors that was unaffected. From 2008 through mid-2010, U.S. casinos reported steadily declining revenues. Revenues from commercial casinos nationwide decreased from $34.1 billion in 2007 to $32.5 billion in 2008 and $30.7 billion in 2009. For the 22nd straight month, Las Vegas revenues declined to their lowest monthly total in six years in October 2009. The first quarter of 2010 revenues in Atlantic City, NJ, continued to decline compared to the first quarter of 2009 . In contrast, some analysts predict that the casino market bottomed out in the first half of 2010. As the casino industry specifically and tourism generally rely on consumers’ discretionary spending, what was once considered a stable and ever-growing industry has been shown to have just as unstable foundation as most other industries.