How Casinos Use Probability and Game Theory to Win Big
Behind the flashing lights and free cocktails, casinos stand on a bedrock of mathematics, engineered to slowly bleed their patrons of cash. But for years, mathematically inclined minds have been trying to turn the tables by harnessing their knowledge of probability and game theory to exploit weaknesses in a rigged system. The result, so far, has been a bit of an ice cube: the house always wins.
Rather than simply welcoming visitors and offering them drinks and entertainment, the best casinos lead them into spending their hard-earned money on games of chance. Bright lights and sounds, physical layouts that make it impossible to walk away from a machine or table, even when you are heading to the bathroom, and smells (candy-like air, for instance) help to create a manufactured sense of euphoria that keeps people betting.
Casinos also use technology to monitor their games, from the smallest details of a poker hand to the results of a roulette spin. Chip tracking allows casinos to oversee exactly how much each player is wagering minute-by-minute, and the odds are constantly analyzed to spot any statistical anomaly. In addition, casino security staff keep an eye on everyone entering and leaving the premises. And if big bettors are spotted, they’re often treated to extravagant inducements like free spectacular entertainment and elegant living quarters.