MIÉ 27 DE NOVIEMBRE DE 2024 - 20:29hs.
Deborah Bizarria, economist

Liberalization of gaming in Brazil is the path to greater security and freedom

Economist Deborah Bizarria, graduated from the Federal University of Pernambuco (UFPE), is a specialist in Behavioral Economics from Warwick University (United Kingdom) and coordinator of Public Policies for the Livres movement. She wrote an opinion column in Congresso em Foco where she asserts that “if liberalization is approved, the gaming market will have transparent rules, will reduce the power of organized crime and generate employment and income in tourism enterprises linked to the activity.”

After decades of discussions on the liberalization of gaming, the issue must finally move forward in the Chamber. Today, Brazil is among the 37 countries, among the 193 UN ones, that prohibit or do not regulate gaming as an economic activity. This demonstrates that we are in a minority and disadvantageous position compared to the rest of the world.

Currently, lottery games are allowed, provided that they are under the full guardianship of the federal government through Caixa Econômica Federal or under state governments. In practice, Brazilian legislation ends up preventing the creation of businesses related to entertainment and tourism together with betting, consequently companies in the sector migrate their business to other countries.

While companies cannot obtain economic gains legally, small groups decide to explore the sector informally and organized crime takes control of a good part of this market niche. Thus creating an environment of insecurity for professionals working in the gaming sector and also for consumers who have to live with other illegal and criminal activities. Despite this, there are those who argue that liberalization would not only attract more criminal activities such as money laundering, but would also increase the cost of society because of the alleged exploitation of addiction to this type of entertainment.

These are certainly valid concerns that must be taken into account when creating the rules for the operation of bookmakers and in designing the inspection policy. However, the necessary fight against crime cannot be confused with a logic of repression of the activities of a legitimate and peaceful market, however significant sectors consider the practice of gaming morally reprehensible. In liberal societies, it is understood that it is not up to the State to legislate in favor of a lifestyle to the detriment of others. It is also worth noting that even with all the legal restrictions in place, gaming has always been part of the daily life and cultural life of millions of Brazilians.

This moralism prevents the public power from seeing gambling as an economic activity like many others, even if it eventually carries a high financial risk.

In this regard, some practices related to exchange and stock exchange operations, for example, can be very similar to betting on games of chance. Those who perform them are trying to predict the direction of the exchange rate or shares, often without any foundation, relying exclusively on intuition and the speed of financial operations. The practices cited, despite functioning in practice as gambling, are not criminalized or a source of moral concern on the part of legislators.

If liberalization is approved, the gaming market will have transparent rules that can be reinforced and monitored through the appropriate mechanisms. Thus, it will also reduce the power of organized crime and generate employment and income in tourism enterprises linked to the activity. Legalization, not prohibition, will make it possible to increase the safety of users and to work actively to raise awareness of health harm reduction and against the accumulation of unsustainable debts.


DEBORAH BIZARRIA
Economist graduated from the Federal University of Pernambuco (UFPE), she is a specialist in Behavioral Economics from Warwick University, in the United Kingdom, and coordinator of Public Policies for the Livres movement.


Soruce: Congresso em Foco