Hasn't gambling revenue in general declined since 2008? A lot of casinos never recovered to the pre-recession levels, I know the ones I frequent here in the midwest certainly havent, though some newer venues are doing well. There's an issue with saturation, alternate ways to gamble etc. All this is known.
I think the PA guy is just stating the truth, anyone dumb enough to play PA racing is, well, just dumb. Why not gouge them, it seems to be working. A tiny group of knowledgeable horseplayers are not who PA racing wants for customers, isn't that obvious with all the crooked, rank shit that goes on there?
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