The evolution of the gambling sector in the Republic of North Macedonia: economic and normative issues

Gambling today represents an extremely complex and global phenomenon, having evolved from a social ritual and form of entertainment into a powerful global industry. Globally, the sector is characterised by a constant tension between the generation of fiscal revenues for governments and the emergence of high social costs, positioning itself as a challenging frontier for rigid regulatory systems, especially after the digital revolution. This thesis analyses this delicate balance by focusing on the case of the Republic of North Macedonia, a country that in the recent years has become the Las Vegas of the Balkan Peninsula. The research offers a comprehensive overview, starting from the theoretical framework of the phenomenon at an international level and moving toward a detailed industrial analysis of the North Macedonian market. Specifically, the thesis investigates the structure of supply and demand of the gambling market, and the sociological profile of the North Macedonian gamblers, highlighting a hybrid market model, characterised both by extensive licenses to private operators and persistent state monopoly on lotteries. By studying the primary supply and demand-side drivers, the research explores the consequences of the gambling boom on the financial stability of households and public health. The analysis further examines the institutional paradox of a State that, on one side benefits from the gambling industry, but on the other one, must manage the negative externalities it generates. From all this, it emerges that North Macedonia needs to reduce deregulation and its fiscal dependence on the gambling market, balancing the protection of human and social capital without losing the positive economic values and benefits generated by this market.