Chasing your losses is never a bad idea. And it becomes a horrible idea, if you are doing it with money borrowed from someone. Before kicking off a round of gambling, the individual needs to understand his chances of winning and the consequences if he lose.
So what you are saying is that it's okay to be bankrupt as long as you're not borrowing somebody else's money? That's almost just as bad. Chasing your losses is the worst idea in gambling and sadly the reason why people keep on coming back to the casino. They feel like they have to get back what was once theirs. Sadly they end up getting more losses in the attempt of chasing the losses. One thing that you have to keep in mind in order to stop gambling, "You have lost enough."
I'm pretty sure that each and every gambler knows their chance of winning and how slim it is compared to their chance of losing. That's why every gambler assumes that they are going to lose every money that they bring with them in the casino.