Washington Examiner – Lindsey Graham is a Southern Baptist. Last month, the senator from South Carolina proposed gambling legislation that was written by a lobbyist for casino billionaire Sheldon Adelson, who was raising money for Graham’s reelection in South Carolina — where two-thirds of Republican primary voters identify as evangelical or born-again Christians.
The Southern Baptist Convention, through its resolutions, has condemned gambling as “immoral,” “harmful,” and “devastating.” In the words of a 1996 resolution, the SBC has “frequently stated its opposition to the gambling industry.” So, naturally, a reporter asked Graham about this Adelson-crafted bill. “I would say that Sheldon has aligned himself with most Baptists in South Carolina,” Graham replied. And he was right. The Baptists and the casino magnate are on the same side: They want to ban Internet gambling. It’s a classic tale of how regulation and the political economy work to expand government and help big businesses with political connections.
The Graham-Adelson alliance echoes a parable told by economist Bruce Yandle called “The Baptist and the Bootlegger.” The central figure in Yandle’s story was an early-20th century Southern politician seeking a winning issue and a source of campaign funds. So he took up Prohibition, which brought the Baptist preacher onboard his campaign. It also earned the financial backing of the illegal rumrunners, who needed Prohibition to shut down their competitors: bars and legitimate liquor stores.
Adelson, like Yandle’s bootlegger, is using anti-gambling sentiment to boost his gambling profits. Adelson owns the Las Vegas Sands corporation, one of the leading casino companies in the world. Internet gambling competes with casino gambling. While other casino companies have found ways to profit from Internet gambling, Adelson is trying to kill online gaming — using government.
