The U.S. Supreme Court ruled the 1992 Professional and Amateur Sports Protection Act (PASPA) unconstitutional on Monday, May 14, 2018 in a 6-3 decision. In general under PASPA individuals could only bet on sporting events in the state of Nevada though wagering on horse races was permitted at the state level. Post-PASPA, betting on individual sporting events could become a substitute for wagering on horse races, or it could become a complement to it if general gamblers pursue horse racing. Over time the availability of racetrack-level and related sports betting data will enable researchers to quantify these effects on the evolution of the equine industry. In the meantime, the message in the stock market was quite clear on May 14th and the subsequent 10 days of trading – returns to gaming and casino shares increased sharply and those increases were statistically significant.
Vickner, Steven S. Ph.D., "Ninety Days Post-PASPA: The Near-Term Financial Economic Impacts on Gaming and Casino Stocks" (2018). Faculty Scholarship. 405.