A lottery is a gambling game in which numbers are drawn or assigned to players for prizes. It may also refer to a method of distributing public funds or property. The word is from the Latin loterie, meaning “drawing lots.” Lottery also can mean a game of chance in which all participants must pay a fee for the privilege of playing.

The first European lotteries, in the modern sense of the word, appeared in Burgundy and Flanders in the 15th century as towns raised money to fortify their defenses or help the poor. Francis I of France organized a state lottery in 1539. These were followed by private lotteries in England and America, where the term was adopted from the French in the 17th century.

Today, state lotteries provide about 2 percent of all state revenues. That’s a significant sum, but not enough to reduce taxes significantly or meaningfully bolster state spending. Many people play the lottery on a regular basis and consider it a form of recreation or even a hobby. Others see it as a painless way to help fund government.

But the lottery is a regressive tax, and it isn’t just about the big jackpots. The people who buy the most tickets come from the 21st through 60th percentiles of income. These are people who have a couple dollars in their pocket for discretionary spending, but not much more. They’re not affluent, and they don’t have the kind of social capital that would lead them to start businesses or pursue their dreams. They’re the ones who are most likely to say, “Life’s a lottery,” and then spend thousands a year on tickets.