Inside the $1.6 Billion Powerball Boom: Why Prizes Keep Growing
America’s love affair with the lottery keeps getting stronger—and the jackpots keep getting bigger. Monday’s $1.6 billion Powerball drawing now ranks as the fifth-largest prize in U.S. lottery history, and it’s no fluke. In fact, all five of the biggest jackpots have popped up in just the last three years.
That explosive growth is no accident. As lottery expert and author Jonathan Cohen explains, the system is built to snowball. When the prize climbs, more people buy tickets. More players push the jackpot even higher—and before long, it’s flirting with a billion dollars.
Why jackpots are exploding:
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Harder odds by design: In 2015, Powerball expanded the number pool, making it tougher to hit the jackpot—but way easier to grow massive prizes.
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Higher ticket prices: Powerball tickets jumped to $2 in 2012, while Mega Millions rose to $5 this year, pumping more money into top prizes.
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More cash for the grand prize: Roughly one-third to half of each ticket goes toward prizes, with a big chunk aimed at the jackpot.
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Interest rates help: With higher Federal Reserve rates, lotteries can advertise larger annuity payouts spread over about 30 years.
