The History of the Native American Gaming Industry

The Native American gaming industry today is what many would consider something of a "hot" topic. So I'd like to help clarify the issue. First I'd like to tell you about why Native Americans turned to the gaming industry, and then I'd like to cover the benefits, and downsides of the industry.

During the westward expansion of the United States, Indians were seen as a hindrance to Americans, and an unfortunate interruption to the fulfillment of America's manifest destiny of the 19th century. Eventually the United States had conquered all of what is now the continental US, legally making native Americans a defeated nation.

As reparations for the treaties broken by the US during the annexation of the western territories, those Native American tribes that had not assimilated into American society were given plots of land known as reservations. But the reservations tended to have very few natural resources and little way of bringing money in for the tribe.

According to the National Gambling Impact Study Commission, in 1990 there was a 48.8% poverty rate in Indian reservations and reservations had the "highest rates of poverty, unemployment, welfare dependency, school dropout, alcoholism, and other indicators of poverty and social distress of any communities in the U.S." So of course there were many benefits to bringing in a big money maker like casinos. First off, it brought in jobs, and is in fact the fastest growing job market on Indian reservations to date.

Along with job opportunities it also brought money, and lots of it. Much of this money is put towards reservation projects, according to the American journal of economics and sociology these projects included "improved housing, educational scholarship, medical clinics, repurchase of reservation land held by non-Indians and the establishment of industrial parks for new business opportunities."

In fact the gaming research and review journal points out that since the opening of the Foxwood Resort Casino in Connecticut, the Pequot Nation has created almost 13,000 jobs and played a leading role in revitalizing the southeastern Connecticut economy of the early 1990's.

Of course nothing is ever as good as it seems and there are many negative aspects to Native American casinos.

Tribes concerned with finding ways of making money that are more compatible with Native American culture. There is a fear that the materialism inherent in the amount of money involved with casinos is incongruent with traditional Native American society. As a matter of fact many opponents of tribal gaming, especially members of a tribe that run a casino often experience a displacement in their tribe. So their efforts at promoting another method of making money that may be more congruent with traditional tribal livelihoods are often silenced by those within their own tribe.

There was also the looming problem of gambling addiction, for tribal member, and local residents of the area.

Another problem for the local residents is that, even if they're opposed to a casino in the area, but have no say in the matter.

Native American gaming has grown quicker than anyone could have foreseen and has raised many complex legal issues. But the benefits of Native American Gaming cannot be denied. More jobs, more money for tribes, and a lower poverty rate. On the other hand there are many disadvantages. Gambling addiction, loss of tribal traditions, and a certain loss of rights for local residents of the area.

Citations:

Nykiel, Ronald A. (2004). A Special Look at Indian Gaming. UNLV Gaming Research
and Review Journal. Vol 8 Issue 2, p51-56

National Gambling Impact Study Commission. (1999). Native American Gambling.
Retrieved October 25, 2006 from Web Site: http://govinfo.library.unt.edu/
ngisc/research/nagaming.html

Vinje, David L. (1996). Native American economic development on selected reservation:
a comparative analysis. The American Journal of Economics and Sociology.