Asia's Gambling Binge

Amid much protest, Japan’s lawmakers are considering a bill this week that would open their doors to opulent gambling houses. Analysts have dubbed it “manna from heaven” and the “holy grail.” Yet as any gambler will tell you, appeals to the divine are a sure sign of a weak hand. Japan’s casino project, like Asia’s gambling binge in general, is unlikely to end well.

The current vogue in the casino business is for “integrated resorts,” or multibillion-dollar goliaths designed to lure out-of-towners and offer them a variety of ways to spend -- shows, shopping, baroque dining -- beyond gambling. This model generally makes casinos more profitable, less dependent on high rollers, and better able to withstand economic ebbs and flows.