A lottery is a game in which participants pay a small amount of money for the chance to win a large prize. It may be legal in some countries, while others outlaw it or regulate it to some extent. A lottery is not to be confused with a raffle or other types of gambling, although it has some similarities.

The odds of winning a lottery are slim, but the prizes can be huge and life-changing. Some people play the lottery simply for the fun of it, fantasizing about what they would do with the money if they won. Others, according to a clinical psychologist, are driven by the fear of missing out on something big, a feeling called FOMO.

Lottery marketing campaigns expertly capitalize on these emotions, says consumer psychologist Adam Ortman. He adds that lotteries make the purchase of a ticket seem like a minimal investment, while magnifying the potential reward. This dynamic is central to triggering FOMO, he explains.

The popularity of the lottery is partly a result of its role in raising money for state and local projects. During the immediate post-World War II period, states were able to expand their social safety nets and public services without increasing taxes on middle-class and working-class families. But that arrangement began to crack under the weight of inflation and rising debt, and by the 1960s, states were turning to the lottery to generate needed revenue.