More than Chance: The Local Labor Market Effects of Tribal Gaming

Abstract

Casino-style gaming is an important economic development strategy for many American Indian tribes throughout the United States. Using confidential U.S. Census Bureau microdata and a database of tribal government-owned casinos, I examine the local labor market effects of tribal gaming on different markets, over different time horizons, and for different subgroups. I find that tribal gaming is responsible for sustained improvements in employment and wages on reservations and that American Indians benefit the most. I also find that tribal gaming increases the average rental price of housing but by an amount smaller than the average wage increase, suggesting net local benefits.

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