People tolerate it because it's been around long enough to be normalized.

Really though people should not tolerate it. Say what you will about the benefits but it is a regressive tax that preys upon people with a poor understanding of numbers and finance, I'm not sure how you can take a moral position that it is good. Historically it is even racist; these were made really to squash local numbers game rackets that were often found in minority communities. They essentially had a baked in market they captured using regulation to create a state owned monopoly over it. Same people you see buying lotto scratchers today would have been playing the numbers game a few generations ago.