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Exiled by Russia - Casinos and Jobs - NYTimes.com
MOSCOW -- One of the largest mass layoffs in recent Russian history is to occur on Wednesday, and the Kremlin itself is decreeing it, economic crisis or not.

The government is shutting down every last legal casino and slot-machine parlor across the land, under an antivice plan promoted by Vladimir V. Putin that just a few months ago was widely perceived as far-fetched. But the result will be hundreds of thousands of people thrown out of work.

And in a move that at times seems to have taken on almost farcical overtones, the Kremlin has offered the gambling industry only one option for survival: relocate to four regions in remote areas of Russia, as many as 4,000 miles from the capital. The potential marketing slogans -- Come to the Las Vegas of Siberia! Have a Ball near the North Korean Border! -- may not sound inviting, but that is in part what the government envisions.

All the same, none of the four regions are prepared for the transfer, and no casino is expected to reopen for several years. As of July 1, not even two decades after casinos began proliferating here in the free-for-all post-Soviet era, the industry's workers will be out on the street.

by Fran (fran at eurotrib dot com) on Mon Jun 29th, 2009 at 02:07:17 PM EST
[ Parent ]
Gangsters, pimps & their prostitutes out on the street?  It's unconscionable, I tell ya.    

"Pretending that you already know the answer when you don't is not actually very helpful." ~Migeru.
by poemless on Mon Jun 29th, 2009 at 02:26:23 PM EST
[ Parent ]
Brilliant !! Driving a legal and sort-of regulated industry underground will not stop it, but is a gift to the gangsters who will exploit it.

keep to the Fen Causeway
by Helen (lareinagal at yahoo dot co dot uk) on Mon Jun 29th, 2009 at 04:44:05 PM EST
[ Parent ]
Do you live around casinos?  I grew up around them.  They may have given a few people decent jobs, but they are really a plague on an area, unless that area is specifically designed around and for them.  When they opened the one in my town, they said it would be a boon to the economy by attracting business. I don't think Russia needs to be relying on casinos to attract business, and if they do, it's business they probably do not want.  Also, how much of the money being made in these places is being diverted back to the economy, and how much is going into private hands, or out of the country?  It's really a lousy institution, and I suspect a lot of people would be happy to have that milieu gone.  

Regulation?  I'd be shocked if government officials weren't seeing a cut, but I seriously doubt these intuitions are regulated in a way you or I would like.  They sure weren't a decade ago.  I think you have a very misinformed idea of how legal and regulated the stuff that goes on in these places are.  It's not Las Vegas or Amsterdam, I can tell you that.  When I was in Moscow, it was common wisdom that the casinos were either fronts for more nefarious operations or vanity projects, or generally some combination there of.  Maybe they've all cleaned up their acts since then, but even the casinos I know of in the quaint Midwest heartland are fronts for far worse than a little bit of preying on the have-nots in order to entertain the haves.  And sure you could get a decent paying job there, in an area where decent paying jobs are scarce.  So long as you understand that being a "hostess" will require showing customers a bit more than just their table.  

Why is the answer to all preying off desperate people to legalize and regulate it?  Because otherwise it will go underground?  It's already underground!  I'm sure the solution is not, "Build more casinos!"  

"Pretending that you already know the answer when you don't is not actually very helpful." ~Migeru.

by poemless on Mon Jun 29th, 2009 at 05:09:14 PM EST
[ Parent ]
Legalised gambling will disappear, but gambling will not. If it goes underground, every problem you identify will get worse. As night follows day. And if different areas become blighted, the blight in those areas will be worse. It will just be less obvious because it will be "off the map" as far as tourists and reporters are concerned.

But everyone else will know.

So obvious is this that one wonders if Putin has cut a deal for a rakeoff.

Of course better regulation is the answer. But in the absence of better regulation, badly regulated legal gambling is better than illegal gambling. Anymore than illegal drugs is a better regulation of the appetites of the public than legal narcotics.

Prohibition doesn't work. I thought Chicago's finest proved that 80 years ago.

keep to the Fen Causeway

by Helen (lareinagal at yahoo dot co dot uk) on Mon Jun 29th, 2009 at 05:26:37 PM EST
[ Parent ]
You obviously already have your mind made up about this as you have not even acknowledged the content of my comment.

If there is one reason this is a bad a idea it is that people will be losing their jobs in an already tough economy.  Again, there needs to be a better solution to that than "casinos."

Prohibition?  Uhm, they aren't banning drinking, or even gambling.  They are shutting down casinos and told them they can relocate in Siberia.  Really - I can't even believe I am having this conversation.  


"Pretending that you already know the answer when you don't is not actually very helpful." ~Migeru.

by poemless on Mon Jun 29th, 2009 at 05:42:52 PM EST
[ Parent ]
I have to say, I'm with Poemless on this one.  Twenty or thirty years ago, the majority of the US was casino free.  You had it in Nevada, Atlantic City, and a few other enclaves scattered around, but for the most part, there simply weren't any casinos.

Could serious gamblers find places to go and gamble?  Yes, they could.  Were they seriously shady and dangerous?  Yes.  Then again, real gambling is seriously shady no matter where it is.  What you didn't find was low-level gambling by the poor and the desperate on every street corner, which is what the spread of casinos enables.  A good number of those people were probably wasting their money and their lives elsewhere, but it wasn't in underground casinos, and if those places were closed, they wouldn't be seeking out underground casinos.  The elderly may love wasting their time and money on slot machines, but they're among the most law-abiding demographic in existence.

Japan is thoroughly screwed on this front.  Public, legal gambling parlors are everywhere.  Everyone knows the games are rigged, and everyone knows the odds are horribly against you, and everyone knows the parlors are owned either by the mob or by North Korea, and everyone goes.  Were they all closed down overnight, I seriously doubt most of those people would start seeking out underground pachinko parlors - they're not there for the danger, or even to win money, but just because it's something to do to waste time, and there are lots of different ways to do that.  

by Zwackus on Mon Jun 29th, 2009 at 10:24:51 PM EST
[ Parent ]
When they introduced a state lottery in Massachusetts a couple of decades ago, an old lady I knew said it made her gambling easier. Previously it was a pain to find out whether you had hit in the mob's numbers game, but under the state plan the numbers were published in the newspaper. But she still played the mob numbers because the payoff rate was better. No taxes, and the limo delivered the cash to your door...
by asdf on Mon Jun 29th, 2009 at 11:54:46 PM EST
[ Parent ]
That is to say, the mob just started using the numbers provided by the state...
by asdf on Mon Jun 29th, 2009 at 11:55:30 PM EST
[ Parent ]

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