Thursday, June 29, 2017

Illinois Democrats

I guess they are trying to live up to the Milton Friedman dictum that if the government ran the Sahara desert they would soon run out of sand.
If you ever dreamed of winning the Powerball or Mega Millions jackpots, your already slim chances are running out of time. Tickets for the two games won't be sold in Illinois after this week due to the budget crisis. Powerball ticket sales will end at 9 p.m. on Wednesday. The drawing will take place at 9:59 p.m. It's worth $92 million.

Aren't lotto proceeds paid out of a lotto fund funded by ticket sales which should produce far greater inflows than payouts. How then is it possible for Illinois to not have enough money to pay winners? Could it be that they have been scooping money from the lotto fund to pay for other things? It would seem that standard fiduciary responsibilities would require that they leave in some sort of escrow sufficient funds from the ticket sales to pay winners. Why do I see parallels to the Social Security 'trustfund'?

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