Gambling and prostitution

by Rocket Finance

otb

Two of the most lucrative businesses in America (aside from blogging), right?

Well, add these to the list of failed, bankrupt or over-budget government projects. It is clear that our government cannot handle a checkbook Social Security, Medicare, Cash for Clunkers, public education, defense and more are all examples of things where the cost goes up while the quality goes down. I do not gamble and I do not make it a habit of going to hookers, however, it is commonly known that both are relatively easy, albeit risky, ways to make large amounts of money.

You may have heard of the Mustang Ranch, a brothel in Nevada. The story of Mustang Ranch is more or less a legend – corruption, murder, intrigue, sex and an international fugitive are all a part of its history. To make a long story short, while prostitution is legal in most of Nevada, the Mustang Ranch ran afoul of the IRS. So, women selling their bodies to make men rich was no problem to our government, but the fact that their taxes were not current prompted the state to take control of the Mustang Ranch in 1990 . . . and continued to operate the brothel until it went bankrupt in 1999 – or so the story goes . . . Except this particular story is not true. The state of Nevada never actually operated the Mustang Ranch and as much as I would love to pass this story off as another example of government ineptitude, the part of the story where the government mismanages a brothel and causes it to go bankrupt just simply is false.

Although, I am sure that IF the government ran a brothel, it would go bankrupt . . . just look at Congress! :rimshot:

Gambling concerns are a great way to make money. Gamblers go bankrupt all the time, but gambling venues tend to make money hand over fist, unless you are a racetrack. Horse racetracks and dog racetracks have all kinds of overhead – think about all that goes into staging a race – so it is common for racetracks to run a very tight profit margin. On the other hand, off-track betting parlors or OTB’s have very little overhead. The pretty much just televise the races and take bets. Yet the state-run OTB’s in New York state are about to declare bankruptcy . . . and that story is true . . . and these people want to be in charge of my health care . . .

Photo by swanks

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