Lottery is a form of gambling in which people purchase tickets for a chance to win a prize, such as money or goods. The first recorded use of lotteries was in the Chinese Han dynasty between 205 and 187 BC, where it was used to fund construction projects such as the Great Wall. Later, the practice was popular in Europe and colonial America. Lotteries helped finance public and private ventures, such as canals, bridges, roads, churches, and colleges. In fact, the Continental Congress voted to establish a lottery to raise funds for the American Revolution. Privately organized lotteries were also common in the United States, and it is estimated that over 200 had been sanctioned by the end of 1776.
While many different types of lotteries exist, state-run lotteries are the most common. These lotteries generate significant revenue for governments, and they often have a monopoly on offering games in their jurisdiction. As a result, these lotteries are subject to the same criticisms that apply to other forms of gambling: they can promote compulsive gambling, and they can have regressive effects on low-income groups. Nevertheless, since New Hampshire initiated the modern era of state lotteries in 1964, no state has abolished its lottery. As the industry continues to evolve, however, the debate and criticisms about it have changed from whether or not it should exist to more specific features of its operations. Moreover, lotteries have a peculiar way of shaping the political landscape and the direction of state policy.