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Betting on the House: The Impact of Gambling on Homeownership in Australia
Kingsley Tetteh Baako1, Kwabena Mintah2, Sefa Awaworyi Churchill3
1School of Property, Construction and Project Management, RMIT University, Melbourne, VIC, Australia. kingsley.baako@rmit.edu.au.
Abstract:
Gambling is commonly associated with social and economic disadvantage. In this paper we examine the impact of gambling on homeownership, using Australian panel data. We find that gambling is associated with a lower probability of homeownership. Specifically, our endogeneity corrected estimates show that an increase in problem gambling is associated with between 1.6 and 1.8 percentage point decrease in the probability of owning a home depending on the model. Our result show that financial stress and social capital are channels through which gambling influences the probability of homeownership.
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