The Casino and the Law of Large Numbers
The law of large numbers is a key concept in how casinos operate. The casino has a mathematical advantage over the gambler because it deals in large numbers. As long as a patron can afford to pay their bet, they will win. However, the more they spend, the greater their loss will be. This principle makes it extremely difficult for the casino to completely eliminate its mathematical advantage. In order to compensate for this, many casinos give players free drinks, cigarettes, and reduced-fare transportation to big bettors.
The casino business in Nevada began to expand in the 1950s, but was initially reluctant to be involved in the industry because it was against the law in every other state. The gambling industry was an unsavory business, but organized crime figures had plenty of cash from illegal rackets and didn’t care much about its seedy image. The mafia continued to pour money into Reno and Las Vegas, and eventually took part in some of them.
While the idea of a casino dates back to ancient Egypt, the concept of a casino was introduced to Europe in the early 15th century. In France, the casino’s modern games were first developed, which were then spread to Europe. The popularity of these games led to the closure of public gambling houses, and the development of smaller venues. These casinos soon became the center of gambling in Europe. And, by the 20th century, casino culture had spread across Europe, with most casinos offering gambling as an attraction.