Gambling casinos are establishments that provide accommodation for individuals to engage in gambling activities as well as to entertain themselves through concerts, sporting events and stand-up comedy, among many others. These establishments were created to keep gambling off the streets and to be able to control some individuals from taking advantage of those who are into betting and taking chances. These include card games such as poker and black jack, horse racing and lottery to name a few. The amount of betting may start from a very small amount perhaps a dime to a dollar but can rise to thousands of dollars.
The origin of gambling can be traced back to the Chinese in 2300 BC but it was believed that every society had its own form of gambling during the ancient times. Dice are considered to be the oldest form of gambling which were originally used for fortune telling in ancient Egypt. These were made of bones and teeth of animals while the shape of dice we know today was created in Korea and used in the Buddhist game called Promotion. Subsequently games using dice were brought and developed in different countries such as Rome where even children were taught to gamble and throw dice.
Another integral part of gambling similar to the dice is the deck of playing cards. Its origins can be traced back from the Chinese Turkestan in the 11th century but it was the French who were credited for the invention of the playing cards in 1387. These already had the suits we know from the playing cards of today which are the spade, club, heart and diamond. Johann Gutenberg of Germany was the first to print a full deck of cards in 1440.
Gambling casinos, on the other hand, began in Europe where the term casino meant a small villa or summerhouse which was usually built on the grounds of large Italian homes or palaces. Subsequently, in the 1600s different forms of gambling found their way in the United States through immigrants who introduced various kinds of games. In the 19th century public buildings where gambling and sports took place were called casinos as well as riverboats on the waters of the Mississippi and Ohio Rivers in early 1800s.
Gambling casinos became illegal due to professional gamblers who resort to cheating to make money. This made gambling in general immoral and professional gamblers were blamed for curtailing the economic growth and endangering the streets because of numerous crimes they committed. However, this did not stop gambling casinos to go underground and gaming operations for organized crimes were created. The 20th century witnessed the building of the first of many casinos in Nevada which were believed to be financed by mobsters such as the Flamingo in Las Vegas which was opened by known New York mobster, Bugsy Siegel in 1947.
In subsequent years gambling casinos, even though tinged with concerns on the morality of gaming and betting, were legalized in different states such as New York, Chicago, Las Vegas, Atlantic City and Monte Carlo among others. The reason leading to the legalization of gambling casinos was to help revitalize the economy of different states and cities.
The Shanghai Composite started out as a way to capitalize Chinese Businesses, but with all the market manipulation it seems more like it’s turned into a gambling casino in many ways; much like the NYSE, or NASDAQ. It seems that the Chinese People who are really great at saving money have boosted stocks to an unreasonable multiple as many stocks were trading at 80-100 times earnings.
Then when the Global Economic Crisis hit China, many of their companies that were involved in manufacturing and exporting took a huge dive in profits, meaning their stock price based on things like quarterly profits was completely out the window. Many Chinese, just regular small time investors felt it was not fair, as they had put their money into the stock market and watched it rise, only to fall again and give up 20-25% in a very short time period.
But besides all that, I asked one small time investor from China; “Do you realize why stock markets exist?” Interestingly enough, she didn’t really, so I explained the stock markets exist to capitalize businesses. So, if that is what they are for, and if you really want to make money, you should be involved in the capitalizing of businesses, based on simple and sound principles.
Then I recommended to her, as I will to you, to read Warren Buffets essays, and to learn more about investing in the business world. Not long ago, I mentioned all this and the conversation to Guang Wu, the author of a new book; “China: Has the Last Opportunity Passed by!?” and his comments were that stock market investing is indeed much different and new to many Chinese Investors. So, please consider all this.
Every day the market goes up and down, and the cable media and financial newspapers attempt to explain these perturbations. Every time there is a sharp sell-off or uptick, they are trying to rationalize what happened, why it happened, what’s going to happen next, and then keep us all entertained in the process. But what does it all really mean?
Nothing, you could just as easy throw rubber duckies in a river, each with a different corporate name on it, and see which one of them goes down the river fastest. You’d do just as well as the best analysts over time with your stock picks, seriously folks, there’s a lot to be said for dumb luck and throwing darts at charts or corporate lettered symbols.
Still, you have to wonder about this daily barrage of promotion and nonsense, as if it really matters? Can you imagine if the Gambling Industry had 4 US Based Cable Networks following every table, every casino floor, or trying to explain how the winners and losers made or lost money – or why, and how they might fair in the future? Because as it stands Wall Street and the Chicago Commodities Exchange are really nothing more than giant gambling casinos, and those who play, yes, they have better odds than a casino, but it is all a game nevertheless.
More interesting is that we base our entire economy and the viability of our economic future on stock market, or commodity price indexes. We use this to set policy and we actually have politicians busy making speeches whenever they think the market might be going up sharply or down drastically. Calling for more regulation, less bureaucracy and vying for media brownie points. This is no more a reality than the created nonsense realities in Washington DC.
Political and economic analysts will tell us that the economy follows the stock market, and the best judge is watching the stock market today to know the future of the economy will follow in 6-months. But if the stock market is a manipulated, and gamed at every turn, and it’s true that the 6-month lead time is real, then it’s the tail-wagging-the-dog, and all the business cycles, and politics that follow are being led by a bunch of dogs gambling at a table.
Yes, I know you’ve seen that old cartoon too, and there is a lot to be said for that. Unfortunately, the whole thing is a lie, based on a casino, which looks legitimate by the media giving it credibility, as if it is doing something that matters or is based on real economic activity, it’s not. It’s all a joke, and the joke is on you. How does that make you feel?