Let's begin with a definition. What is gambling? Gambling is betting on a thing that may or may not happen in the foreseeable future. As we gamble, we take a risk, choose an uncertain outcome, and bet on it. Gamblers bet on casino games, horse racing, and sports where the result can not be predicted with certainty. Some individuals will bet on anything. Remember the Seinfeld episode where Kramer bet on the arrival and departure times of airplanes at a brand new York City airport?

How is gambling different from buying stocks and bonds? Stocks and bonds are thought about investments and not gambles because we can reasonably anticipate to come out ahead within the long term. They can be risky although not within the same sense as gambling.

How is gambling not the same as buying insurance? Once we buy insurance, we are betting on something that may or lottery agent may not happen in the foreseeable future.