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The lottery, pawn shops and check cashers

Pawn shops and check cashing operations will be among the businesses that will be licensed to sell lottery tickets in North Carolina.

So?

That was the start of a conversation I had with myself earlier this week. Are these two types of businesses all that much different from the convenience stores and groceries that would be the bulk of lottery retailers?

After asking around for a story scheduled to run Sunday, (Update: Click here for the story) there are at least two schools of thoughts on the matter.

One is that because pawn shops and check cashing operations - in general - cater to the poor, and lottery advocates have pledged the state game won't market to the poor, having the lottery sold in those locations is an inherent conflict.

That view is summed up by Bill Rowe of the N.C. Justice Center. From the story:

“I think it’s unfortunate because there was a great deal of debate about not marketing the lottery to poor people,” said Bill Rowe, general counsel for the N.C. Justice Center, a progressive think tank that lobbies state government. “It doesn’t take much to connect the dots. If you’re pawning your possessions for money or don’t have enough money to have a bank account, it’s probably not a great idea to spend your money on lottery tickets.”

Others have a different view. Why should the state discriminate against any sort of business? From the story.

Jim Greene, the owner of Coins & Stuff on Lexington Avenue in High Point, describes his business as mainly a jewelry store. But he does hold a pawnbroker’s license and makes small loans by holding jewelry and coins as collateral.

Greene said he saw no reason he shouldn’t have a lottery terminal. When asked whether he would sell a lottery ticket to someone who had just pawned an item or taken out a loan, he said he would.

“If they’ve got the merchandise and want to pawn it, what they do with the money is their business, not mine,” Greene said. “If they don’t play here, they’ll play somewhere else.”

If you have a chance, read the story. And then discuss below.

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