| In China, lottery is a new industry of great development prospect. Not only does lottery industry contribute a lot in its specific fields, it also imposes influence significantly on other business sectors such as publishing, printing, TV, radio, transportation and so on. Active development of lottery industry in China will have positive effect on the national economy and its further development.In this paper, in light of the experience of success in foreign countries, theoretical researches and case studies in various lottery-involved areas are systematically carried out according to the current development of the lottery industry in China. To provide theoretical and practical directions and suggestions on the standard of lottery development in China, systematical measures on the management pattern, business operation and the related legal problems in lottery industry are proposed on the basis of the thorough analysis of the relationship between lottery industry and the national macro economy, industrial economy and regional economy and the profound probe into the nature of the development of lottery industry. Main contents of the paper are as follows:1. Analysis of the equilibrium of lottery market and the effects of lottery industry is performed. The influence of lottery on industrial economy is studied taking Welfare Lottery and Sports Lottery as examples and its impact on regional economy is researched. The relevancy of lottery industry and national economy is also investigated.2. Through comparative study of the lottery management systems of western developed country and that of China, problems in our system are deeply discussed. Reformative measures are proposed in regard to the innovations of the management organization, distribution range and taxation concerning lottery.3. Means of regulation and control over the market scale of lottery are proposed based on the study of the behavior of consumer demand in lottery industry and the factors that affect the demand and supply in lottery market. Innovative concept and methods in sales promotion and distribution of lottery are also investigated.4. The legislation of lottery in China is discussed in comparison with the mature legislation systems in foreign countries. A recommendatory legislation framework is established after analysis of the existing problems.5. A plan of setting up regional lottery centers in China is investigated. Index system of lottery center selection and the corresponding quantitive model are established. A DEA model to evaluate the effectiveness of the development of lottery market and the regional center development strategy are also proposed.6. Exploration of gambling industry in China is performed, in which its pulling effect on regional economy is analyzed. A plan incorporating gambling industry and Western Exploitation in China is proposed.
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