Gambling as Strategies for
Economic Development:
The Case of Macau and Singapore
Dr William Vlcek
Lecturer in International Relations
School of International Relations
University of St Andrews, Scotland
5 July 2013
Overview
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 Macau casinos
 Background and context
 Revenue and visitors
 Singapore casinos
 Gambling revenue
 Addressing the social ill
 Internet gambling/Online gaming
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Geographical context
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Liberalising the casino license
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 In 1961, a monopoly license to operate casinos
 Sociedade de Turismo e Diversões de Macao (STDM), majority
owner Stanley Ho
 Return of Macau to Chinese governance, 1999
 Three casino licenses granted in 2002
 Galaxy Casino SA – Galaxy Casino and Venetian Macao
 Wynn Resorts (Macao), sub-conscession to Melco PBL Jogos
(Macau)
 Sociedade de Jogos de Macau SA (SJM), sub-conscession to
MGM Grand Paradise SA
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The Venetian, Macau
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Casino revenue growth
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Source: DSEC - Statistics and Census Service, Macao SAR Government (June 2012)
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Who gambles in Macau?
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Source: DSEC - Statistics and Census Service, Macao SAR Government (June 2012)
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Government benefit
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Source: DSEC - Statistics and Census Service, Macao SAR Government (June 2012)
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Singapore– a competing Asian casino destination
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 Two ‘integrated resorts’ with a casino
 Resorts World Sentosa (opened February 2010)
 Marina Bay Sands (opened April 2010)
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Marina Bay Sands, Singapore from Merlion Park
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Singapore – gambling revenue
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 Total gross gaming revenue for 2011 was ‘almost
US$6 billion’.
 For 2011 Singapore collected ‘betting taxes’ of
US$1.84 billion
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Addressing the social ill
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 Citizens and permanent residents pay an entrance
fee (S$100 per visit or S$2,000 for an annual pass)
 ‘Around’ 200,000 residents visited a casino in 2011
 Government maintains a list of ‘excluded persons’
the casinos must prevent from entering the gaming
rooms
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Internet – the classic view
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New Yorker cartoon by Peter Steiner, published 1993.
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Internet gambling, ‘offshore’
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 Antigua-Barbuda, Costa Rica, Gibraltar, Isle of Man
 WTO Dispute Case DS285: United States —
Measures Affecting the Cross-Border Supply of
Gambling and Betting Services
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Online gaming is dangerous
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 Corrupting influence on
children
 Money laundering
 Terrorist finance
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Leicester Square, London
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