Lottery is one of the few consumer products that held steady or even increased its popularity during the Great Recession. Its enduring appeal is probably the result of a number of factors: it’s relatively cheap and easy to play; people have long been attracted to the chance to win something big, even if they can’t really afford to do so; and, because lottery prizes are allocated through a process that relies entirely on chance, the resulting spending is not considered “taxes” by state legislatures and doesn’t seem to affect the overall economy in the same way that other forms of gambling do.

But the lottery has also drawn a lot of criticism, from allegations that it promotes compulsive gambling to its regressive impact on lower-income communities. And it’s a complex business that generates both excitement and confusion.

It starts with the odds, which range from low to vanishingly tiny. Then there’s the cost of playing, which is typically a sizable chunk of a person’s disposable income. And finally, there are the consequences of winning, which can be a life-changer—or not.

Brian Martucci is a senior writer and researcher at Money Crashers, where he investigates time- and money-saving strategies for readers. He covers credit cards, banking, insurance, travel and more. Follow him on Twitter @BrianMartucci.

The percentage of the ticket price that goes to prize money varies by state, and most spend about 50%-60% on ticket sales. The rest goes to various administrative and vendor costs, as well as toward projects that each state designates.