Actually, the state doesn't seem to enter into the equation at all, that's a red herring. State gets (ticket_sales - prize_money), sure. This amount is predeter

Actually, the state doesn't seem to enter into the equation at all, that's a red herring. State gets (ticket_sales - prize_money), sure. This amount is predetermined by the rules (usually "X% goes to state, 100-X% goes to prize pool). From here, the only changes happen in the way that the prize pool is distributed to winners: part goes to jackpot, part goes to smaller prizes; if jackpot too large, recalculate with a larger part going to smaller prizes. The amount that state is paid out is never influenced by this. Example: In round 1, state sells tickets for 100 ($, $thousand, $billion, doesn't matter). 50% goes to state, 20% goes to jackpot, 30% goes to smaller prizes. State gets 50, jackpot is 20, prizes of 30 are paid out. Round 2: sell 100, get 50, jackpot 20+20 (from last round), prizes of 30 are paid out. Round 3: sell 100, get 50, jackpot 40+20, prizes of 30 are paid out. Round 4: sell 100, get 50, jackpot 60+20, prizes of 30 are paid out. Round 5: sell 100, get 50, jackpot 80+20=100, recalculation triggers, new jackpot 0, prizes of 30+100 are paid out. Round 6: sell 100, get 50, jackpot 0+20, prizes of 30 are paid out. Note that in every round, the amount that state receives is independent of the relationship between jackpot and other prizes.