The lottery is a game in which tickets are sold for a chance to win a prize based on random selection of numbers. The prizes are often cash or goods. Many states offer multiple types of lotteries. The rules of each lottery vary by state. Prizes may be based on the number of tickets purchased, how many numbers are drawn, or how much money is paid for each ticket. In some cases, a percentage of the prize pool is retained by the organizers to cover expenses and profits.

A large number of people play the lottery. The odds of winning are very low, but the lure of instant wealth draws players from all walks of life. The lottery is an inextricable part of American culture. Its advertising is ubiquitous. The massive jackpots are a constant presence on billboards, and the games themselves are televised.

National lotteries raise significant amounts of revenue for state governments. These funds supplement other sources of government income, such as sin taxes on gambling and state personal income tax rates. While this supplemental revenue can be helpful, it can also promote gambling addiction and encourage state officials to spend too little on other public projects.

The word lottery is derived from the Dutch noun lot, meaning “fate” or “chance.” Lotteries have been used to raise money for public works projects since at least the 15th century, when town records of Ghent, Bruges, and Utrecht mention them as a means of raising funds for local building projects and for the poor.