Lottery is a form of gambling in which numbers are drawn at random for a prize. Some governments outlaw it, while others endorse it and organize state or national lotteries. The profits from these lotteries are used for a variety of public purposes. In the United States, state-run lotteries are monopolies that do not allow commercial lotteries to compete with them and whose profits are used exclusively for government programs.
While making decisions and determining fates by casting lots has a long record in human history, lottery use for material gain is much more recent. The first recorded lotteries to offer tickets with prizes in the form of money were held in the Low Countries in the 15th century, for purposes such as building town walls and fortifications, and helping the poor.
A basic element of any lotteries is a system for recording the identities and amounts staked by each bettor. Often, this is done by having each bettor sign his name on a ticket that is then deposited with the lottery organization for shuffling and possible selection in the drawing. Alternatively, a bettor may mark a section on the playslip to indicate that he will accept whatever numbers are randomly chosen for him.
State lotteries have gained widespread popular approval largely by claiming that their proceeds benefit some specific public good, such as education. This argument is especially effective during times of economic stress, when states need to increase their social safety nets and are facing the prospect of raising taxes or cutting public programs. However, studies have found that the popularity of a lottery is not closely connected to the actual fiscal health of the state.