Gambling in Casinos

If you think of a casino, images of bright lights, large wads of money and glitzy games of chance come to mind. From the dazzling Vegas strip to tiny mountain towns with 19th century Wild West buildings housing poker tables and slot machines, casinos attract visitors from all walks of life seeking Lady Luck. But they would not exist without gambling: Slot machines, blackjack, roulette, craps and baccarat bring in billions of dollars in profits every year.

Gambling is a popular form of entertainment in casinos, but the actual profits are derived from an advantage gained by the house over the players, often called the house edge or expected value. This house advantage is uniformly negative from the player’s perspective, but casinos offer various inducements to keep the customers coming back. These inducements, referred to as comps, include free shows and hotel rooms. Some casinos also give high-spending players limo service and airline tickets.

Casinos are often decorated with stimulating, cheery colors such as red, to encourage gamblers to stay longer and spend more money. They are usually smoke-free environments, and there is a lack of clocks on the walls to prevent people from being distracted by other activities. Several studies have shown that a person over forty-six who is a parent with above average income makes up the largest percentage of casino gamblers.

In the 1950s and 1960s, casino owners were desperately searching for funds to expand and renovate their facilities. Although legitimate businessmen were reluctant to invest in gambling operations, organized crime figures with plenty of cash from drug dealing and extortion rackets had no problem with the seamy image of casino ownership. They pumped millions into Reno and Las Vegas and in some cases took sole or partial ownership of the casinos.