Question

In: Economics

why are U.S. ships not permitted to operate casino-type gambling? , please answer with 300 words...

why are U.S. ships not permitted to operate casino-type gambling? , please answer with 300 words or more.

Solutions

Expert Solution

                        A Casino refers to a certain type of gambling which is often associated with hotels, pubs, cruise ships, tourist attractions etc. Here, the customers would play the gamble with games of chance sometimes using skills like craps, roulette, baccarat etc. All the games have mathematically determined odds to make sure that the house always has an advantage compared to the customer. A Gambling ship refers to a cruise ship which contains casino gambling. All the cruise ships do not have this this facility and is guided by the state law. According to the US state law, gambling is allowed only after the ship is 12 nautical mile from the sea. This means that the cruise has entered the international waters and no gambling is allowed when the cruise ship is within the US sea limit. In most of the nations, the limit is three miles and thus in USA, may tried to make an advantage using this international standard. But when the limit was redefined as 12 nautical mile, the advantage of gambling within the state waters became uneconomical and against the state law.

                        Gambling was prohibited by law and ratified by the US state and thus became a part of the US state law by as early as 1919. Although only Hawaii and Utah have a 100% ban on gambling, all the US states do not have land-based gambling and hence gambling is a choice that is prohibited by the state and federal laws in the land and in the seas, it is being prohibited unless the ship is off the territory and when it enters the international waters, it is governed by the international law. Hence, it becomes clear as to why gambling is not allowed on the US cruise ships.


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