Award Date


Degree Type


Degree Name

Doctor of Philosophy (PhD)


Hotel Administration

First Committee Member

Sarah Tanford

Second Committee Member

Ashok Singh

Third Committee Member

Bill Werner

Fourth Committee Member

John Schibrowsky

Number of Pages



The purpose of this research was to investigate three potential consequences related to the 2003 Illinois Gaming Tax rate restructuring. The first section presents the assessment of whether a higher tax rate motivated an Illinois casino operator to reduce of marketing/promotional expenditures in an attempt to negatively influence revenues. The second establishes if the surrounding state gaming operators reacted to the increased Gaming Tax rate in Illinois, by raising their marketing spending. The last section clarifies whether the changes to the Illinois Gaming Tax Schedule impacted gaming volumes in the neighboring/competing states of Indiana, Iowa, and Missouri.

The analysis relied on data collected from three primary sources. The marketing spend data was provided by a major Illinois riverboat operator. The second analysis used data from SEC filings to observe promotional expenditures by operator(s) competing for gaming business with Illinois riverboats. The third analysis utilized data made available by the state Gaming Control Boards and focused on how the 2003 Illinois Gaming Tax rate restructuring impacted gaming demand in the surrounding states.

The findings reveal that the 2003 restructuring of the Gaming Tax in Illinois impacted each area of interest, showing that promotional spending by a major Illinois riverboat operator was significantly reduced, the promotional spending by a major operator of commercial casinos in the surrounding states showed a statistically significant increase in response to the increase in the Illinois Gaming Tax, and lastly, the gaming demand in the three geographic areas located in the three bordering states was positively impacted by the 2003 Gaming Tax increase in the state of Illinois.


Casinos – Law and legislation; Casinos – Marketing; Casinos – Taxation; Gambling industry; Gaming; Illinois; Legislation; Marketing; Taxation; Taxation – Rates and tables


Finance | Gaming and Casino Operations Management | Marketing | Taxation | Taxation-State and Local

File Format


Degree Grantor

University of Nevada, Las Vegas




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