Gross vs. Net

This article, about a proposed casino in North Jersey, raises the importance of understanding what is gross versus what is net.  In other words, if the new casino will generate 100 units of economic impact for New Jersey, but 60 of those units are just internally shifting from within the state, then the net impact of the casino isn’t +100, it’s +40, and from an ROI standpoint it’s the +40 and not the +100 that the state should be looking at.

 

(LH)

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