How dose the house always win? Are they simply cheating?
In: Mathematics
There is a discrepancy between the payouts and the odds of winning.
Roulette is the simplest example. In Roulette there’s 38 numbers on the wheel (1-36, plus a 0 and a 00), each of these numbers is equally likely to be the winning number. You can bet on *one* number, and if you win, you get 36 times your bet. So you bet ten dollars, if you win you get $360. So, your *success* ratio is 1:38, but your *earnings* ratio is 1:36. There’s that discrepancy. If you play 38 times, you’ll expect to win once. But the earnings for that one win is only 36 times what one play costs, not 38 times, which would make you come out even. Basically, if it costs $10 to play, and you played 38 times, you would spend $380 dollars, and win $360 dollars, a $20 profit for the house, therefore a $20 loss for you.
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