Official lottery is a form of gambling in which numbers are drawn at random and the winners receive a prize. It is a popular pastime for many people and is offered in most states, the District of Columbia, Puerto Rico, the U.S. Virgin Islands, and Guam. The prizes can be cash or goods, or a combination of both. Most lotteries require participants to pay a small base price for the chance to win a larger sum. In the United States, the state-run lotteries are operated independently, although a few consortiums operate games that span multiple jurisdictions and offer large jackpots.

Several governments have adopted the lottery as a way to raise money for public services, such as education, infrastructure, and social welfare programs. It is a major source of revenue for many states, providing billions in the last fifty years alone. However, the actual amount raised by state lotteries is often significantly less than advertised. In some cases, it is as little as 1 to 2 percent of total state government revenues.

Lotteries are a controversial topic, with both proponents and opponents of the games arguing about their morality. The main argument for allowing the games is that state governments need the revenue, and a lottery is one of the easiest ways to collect it. The main counterargument is that a lottery system is simply gambling, and that it does more harm than good. Some people argue that gambling is inevitable, so it makes sense for states to make money by offering a lottery, while others point out that lottery systems encourage more gambling and create a new generation of gamblers.