Gambling, in all its forms—from casual with a bookie to the high-end casino experience—has been a part of human civilization for millennia. Evidence of wooden blocks used for gambling shows up in 2300 BC China, dice became popular around 500 AD, and the first form of a modern-day card game appeared in the early 1600s with what would become blackjack. One thing that has never changed about casinos, though, is their business model. While they may be in the service industry, and their purpose is to make customers feel good, there’s still one inescapable reality: In the long run, they must win. And the way they do that is by using math to their advantage. Every casino game has a built-in statistical advantage that works against the player, known as a house edge.
This advantage varies from game to game, but it’s always in place to ensure that the casino will ultimately make money over time. In addition to math, casinos have also become very sophisticated in the way they manage their games. For instance, chips with microcircuitry are embedded in table games to track bets minute-by-minute and alert the casino of any anomalies; Roulette wheels are monitored electronically and can detect any mechanical deviations from their expected outcome.
This level of sophistication has been used to help casinos make gamblers feel like they’re being treated fairly, even when the house edge is in play. It’s a powerful way to entice gamblers to keep coming back and spending more of their hard-earned dollars.
