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All in? Economic Factors to Consider in Native American Gaming. By Shalin Hai-Jew. Abstract :. - PowerPoint PPT Presentation
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ALL IN? ECONOMIC FACTORS TO CONSIDER IN NATIVE AMERICAN GAMING
By Shalin Hai-Jew1
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ABSTRACT:
The economic frame focuses on the context of the need for economic development on Indian reservations. This offers a range of considerations for Native economic development. It also looks at the pros and cons of Indian gaming as an economic solution. This asks learners to consider issues of economic development and empowerment.
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LEARNING OUTCOMES
Explore the economic, job creation / shifting and secondary industries impacts of Indian gaming; understand up front costs of setting up Indian gaming
Probe competition between tribes of Indian gaming
Explore the use of reservation resources for economic health
See how different tribes approach the economics questions in terms of their resources
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LEARNING OUTCOMES (CONT.)
Think of strategies to diversify the economic base beyond Indian gaming!
List the possible positive and negative externalities to Native gaming; consider the mitigations to gaming effects
Know what some primary decisions are once casinos open.
Understand law enforcement issues around Indian gaming
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STRUGGLES WITH TRIBAL GROWTH AND DEVELOPMENT
Insufficient access to capital markets Low levels of education Poor endowments of natural resources Indians’ goals and attitudes Institutional resource allocation Ill-advised federal policies A culture of paternalism towards
Native Americans Former mismanagement of Native
American resources 5
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OBSTACLES TO TRIBAL DEVELOPMENT
Low access to financial capital Lack of human capital Lack of effective planning Excessive planning with insufficient action Low natural resources Lack of control over natural resources
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OBSTACLES TO TRIBAL DEVELOPMENT (CONT.) Physical distance from markets and the high
costs of transportation Intense competition from non-Indian
communities Counterproductive and / or discriminatory
federal and state policies Inept, corrupt or uninterested BIA leadership
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OBSTACLES TO TRIBAL DEVELOPMENT (CONT.)
Non-Indian outsider control or confounding of tribal decision – making
Unworkable or externally imposed systems of government
Inept or corrupt tribal politicians and bureaucrats
On-reservation factionalism leading to instability in tribal decisions
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OBSTACLES TO TRIBAL DEVELOPMENT (CONT.)
Instability of tribal government discouraging outside investment
Low reservation savings Scarce entrepreneurial skills and experience Non-Indian management techniques fail to
work on the reservation
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OBSTACLES TO TRIBAL DEVELOPMENT (CONT.)
“Non-Indian management techniques will work, but are absent”
Inhibitory tribal cultures Long-term negative effects of racism
undermining tribal self-confidence Alcoholism’s deleterious effects (Cornell and
Kalt, Reloading the dice…, n.d., p. 6)
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ENVIRONMENTAL SCAN Market analysis High cost of entry for infrastructure High tech demands Risks to the casino / house Possibility of failure due to booms and busts,
competition, and economic challenges
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ENVIRONMENTAL SCAN (CONT.)
Opportunity costs Risks in policy shifts
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EARMARKED FUNDS FOR TAXATION, GOVERNANCE AND INDUSTRY SELF-REGULATION
Taxation (employment) Governance and infrastructure building for
the tribe Industry self-regulation
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LOCATION SELECTION/ SITING AN INDIAN CASINO
Urbanized or rural environment for the most benefit?
Nearness of business competitors Optimal customer-friendliness of gaming type
for the region State laws / county laws Land use consdierations
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LARGER COMMUNITY ISSUES
Shared benefits Intercommunications Relationships with other tribes Forming alliances
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MITIGATING POTENTIAL PROBLEM GAMBLING
Up to 8% of gamblers may have a “problem (pathological) gambling” issue
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ROLE PLAYING:
Scenario: The scenario is a tribal council meeting. A local tribe is considering whether to adopt gaming as part of their economic development strategy. All who may be impacted should attend.
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ROLES AND STANCES Have learners choose various roles. Have
them research what an individual or group in their role may think, and have them argue a coherent stand. Each individual or group will have particular aims that they want to achieve. Allow room for changes and shifts in ideas if particular aims are met. Have them keep the aims private generally unless they feel it’s strategically helpful to share that with the group. See what sort of final agreement the various individuals may come to.
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ROLES
Tribal Elders: Larger Outside Community: Tribal Community Members: The Economic Development Committee from
the Tribe: Pro-Casino Investors: State Officials: Private Gaming Representatives:
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CONCLUSION
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