US to Nationalize Las Vegas Casino Gambling?

The subject presently being discussed in Congress is the banking system, but it surely could soon be the casino gambling industry that turns to government ownership to prevent collapse.

US institutions are facing crises, as investor selloffs drive market value of those companies plummeting down, high-risk investments become anchors dragging companies under, and excessive spending returns to haunt them. Perhaps the one way to save tens of millions of jobs and forestall further chaos is to nationalize the industry.

The subject presently being discussed in Congress is the banking system, nevertheless it could soon be the casino gambling industry that turns to government ownership to prevent collapse. While Las Vegas gaming and resort operators struggle to bypass bankruptcy, some economic planners thinking outside the box say nationalizing the gambling sector makes as much or more sense than taking up the banks.

Washington economist Pete Dobson says, "If the federal government took over the casino operators which are tumbling toward bankruptcy, taxpayers could soon see a profit at the investment. Ridding those companies of the toxic assets they committed to within the name of endless reckless growth would put such companies as MGM Mirage back to the days of large earnings."

Gambling has become an essential component of generating public money around the US, as states are constantly expanding games and changing laws to extend revenue. In line with Dobson, "Nationalization of the casinos would assure the security of all those jobs, plus provide the united states with massive cash flow. Why continue to take only a taste of gaming income, when industry leaders can't maintain profitability in this sort of simple business?"

Online Casino Advisory senior gaming analyst says, "This plan probably has no shot politically, but actually would figure out better for US taxpayers than a nationalization of Bank of America. Once the debt problems fascinated about headlong expansion are controlled, the casinos may well be sold off one at a time, recovering government funds invested.

"Meanwhile, the casinos owned by the US, not encumbered by the credit problems because of overleveraging, would again return to raking in money, bringing billions to federal coffers."

Neither the Treasury Department nor the office of Barney Frank had touch upon the casino plan. Washington insiders said a nationalization of gambling would meet too many obstacles from special interests and lobbyists.

Published on February 21, 2009 by VirginiaMaddox

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