THE EIGHTEEN-YEAR-OLD high school senior is a bit reluctant to discuss his gambling at first, but gradually warms to the topic. He has been playing poker with friends from school since he was thirteen or so, but admits that his taste for gambling action has expanded since then.

"I play with different guys now," he says. "Sometimes I play with people I know, but other times someone gives me the name of a guy who likes to play for high stakes, you know. And I give him a call, and I get in a game.

"When I used to play, like back years ago, we'd play for dimes and nickels. A really big pot for us was like three or four bucks. Now I play for way more money—it's kind of embarrassing to talk about."

He shrugs. "Maybe five hundred or so. I've been in a...