If they cannot control it, they ban it. And I wonder what good does it do in the long run when addicted people run around and find some other place to gamble, and even do the extremes in order to satiate their gambling thirst. Perhaps a total ban on slot machines isn't the solution but rather the regulation of it. If the Australian government tightens up their policy and regulation on acquiring and operating such machines, we will not be seeing a rise on the number of addicted people in said games.
It's unfair if they impose a whole ban, but they should think of something else to control it.
That's what suck mostly of the government institutions nowadays, they seem to be overreacting and end up banning all those that they can't control anymore.
I think they are just making their work easier and simple. Banning gambling machines altogether will save them resources and time than regulating it and creating panels of people on deciding which area is ban and which is not. Though I agree with Avikz idea:
Probably Australia can take Las vegas route instead. Designate an area where all gambling houses will be situated and represent it as a tourist destination.
and I think it is very much easier to implement.
The machines are just tools,
And are meant to be disposed of if proven harmful. So I am not against banning them altogether if there is no better way to solve the gambling addiction in a country.
and even if they will vanish, gamblers will always find ways to gamble on other things that will result into addiction.
That is why it is important to ban them all so that addicted gambler will have no way to look for it at least in the physical location. Online gambling will be another story I think.
I think what they need to deal is the addiction of their citizens, and they can only do that if they start regulating all those things that seem to be uncontrolled anymore. Its also unfair on the owners of those machines as they will also lose an income if those will be totally disposed.
I highly agree that they need to focus on addicted citizens. But the problem lies ahead because addicted citizens will never comply with regulations since they are as you said are already uncontrollable. Medical treatment of those who are addicted to gambling should be prioritized after the gambling machine ban.
So I think total gambling machine ban and gambling regulation must be implemented at the same time.