I. Introduction
Atlantic City is a renowned city that has been known for its beautiful beaches, boardwalk, foods, and entertainment. However, the city’s biggest claim to fame has been its thriving casino industry.
During its heyday, Atlantic City was the second-largest gambling mecca in the U.S., after Las Vegas. Nevertheless, several economic and internal issues have caused the casino industry to experience a massive downfall over the years, leading to the closure of several casinos.
This comprehensive overview aims to provide readers with an understanding of the history of Atlantic City’s casinos, the current state of the industry, the effects of casino closures on the community, regulatory policies that govern gambling, and future plans to revitalize the industry.
II. A Historical Retrospect: The Rise and Fall of Atlantic City’s Casinos
The growth of the casino industry in Atlantic City began in the late 1970s, when the state of New Jersey passed a referendum to legalize gambling. The emergence of casinos in the city attracted several visitors and produced impressive financial returns, sparking the rapid expansion of the industry.
However, the industry’s success was relatively short-lived. Increased competition from neighboring states such as Pennsylvania resulted in decreased visitation. Additionally, the industry struggled with mismanagement and corruption, coupled with a major economic downturn in recent years.
Several notable casinos, including the Trump Taj Mahal, the Atlantic Club, and Revel, have all closed down due to competition, bankruptcy, or mismanagement, leaving countless employees jobless and sending waves of bad publicity across the city.
III. Survivors of the ‘Casino War’: The Remaining Casinos in Atlantic City
Currently, Atlantic City has nine operational casinos left. Borgata Hotel Casino & Spa, the first casino to open in the city in over ten years, stands as the biggest and most successful casino in Atlantic City. The remaining casinos include Caesars Atlantic City, Hard Rock Hotel, Tropicana Atlantic City, Ocean Casino Resort, Resorts Atlantic City, Bally’s Atlantic City, Golden Nugget Atlantic City, and Harrah’s Atlantic City. Each surviving casino has been forced to make changes to survive in such a challenging environment.
For instance, the Hard Rock Hotel and Ocean Casino Resort are new entrants and replaced the previously failed Revel and Taj Mahal. The Golden Nugget, formerly the Trump Marina, made significant investments in its facility, offering a fresh new look and experience for visitors.
Despite the countless challenges and competition from nearby states, these surviving casinos have found ways to remain successful and continue to attract visitors to Atlantic City.
IV. Bottoms up: What the Closure of a Casino Means for the Host Community
Casinos play an integral role in the communities in which they are located. Once a casino closes, the host community is left with a void that can take years to fill. Unemployment rates rise, businesses face the threat of closure or reduced revenue, and the loss of tax revenue negatively affects the overall economic growth of the area.
For Atlantic City, the closure of five casinos in four years led to the loss of over 11,000 jobs and noticeable economic hardships for the area. The state of New Jersey had to rush to implement policies like job training, healthcare, and other initiatives to help the region recover.
Policymakers may need to consider implementing policies and strategies to mitigate the negative effects of casino closures on the community. One potential solution may be to address the excessive competition from surrounding states through border agreements, which could help maintain the stability of host communities.
V. A Tale of Two Policies: Winners and Losers in New Jersey’s Casino Regulation
New Jersey has one of the most comprehensive gambling regulations in the U.S., with the New Jersey Division of Gaming Enforcement (DGE) regulating licensed casinos in the state. The policies and regulations cover areas such as the management of the casinos, operation of gambling activities, the protection of customer information and funds, and the compliance of social responsibility and self-exclusion programs.
Successful casinos in Atlantic City are those that have maintained compliance with DGE policy, with customer satisfaction being the driving force behind their successes. For instance, Borgata has maintained compliance with all regulations and continues to offer the best gambling experience in Atlantic City, making it the most successful casino in the city.
On the other hand, the unsuccessful casinos, such as Revel and Taj Mahal, failed to maintain compliance, leading to the loss of their gaming licences and eventually forced to shut down.
VI. The Rising Phoenix: Plans for the Future of Atlantic City’s Casino Industry
The City of Atlantic City and the New Jersey Division of Gaming Enforcement are working tirelessly to revive the region’s casino industry. Current plans include the introduction of sports betting and online gaming services, which are expected to bring in new companies and revenue to the area. Another significant move is the ongoing development of non-gaming amenities like luxury accommodations, restaurants, and shopping facilities to attract more tourists to the area.
Significant progress is already visible in Atlantic City, with the Hard Rock Hotel and Ocean Casino Resort opening in 2018, bringing in new visitors to the area. The new casinos offer an array of gaming choices together with shows and other entertainment activities.
Overall, the future of the Atlantic City casino industry looks promising, with innovative developments and policies that will enhance customer satisfaction, boost revenue, and create employment opportunities.
VII. Conclusion
In conclusion, Atlantic City’s casino industry has experienced numerous challenges over the years. Nevertheless, the city is steadily and gradually rising from an industry lull by introducing innovative policies that seek to revive the region’s economy.
It is vital to understand the role of regulatory policies as well as the impact of casino closures on the host community as policymakers work to revive the city’s casino industry. With various developments in place, the future of the Atlantic City casino industry looks optimistic, and all indications point to a promising future that offers sufficient revenue, employment opportunities, and continuous growth to the area for years to come.