Beat The House Casino Game
Call for Commonwealth beat cop to fight casino money laundering. Game rules and responsible. Report regarding Crown’s Perth casino. The upper house inquiry is part of a push for Victoria.
- Beat the House is a poker simulator. Before each hand the player can select the amount of money to bet. Then the game begins by pressing DEAL. The computer provides the player with 5 random generated cards and the player has the possibility to hold or discard each of the cards.
- Baccarat is known as the casino game with the lowest house edge, however, the Tie bet can definitely tarnish its reputation. The Banker is recommended for its low edge of 1.06%, the Player is also a good option with a house edge of 1.26% and then there’s the Tie bet – standing at the staggering 14.4% house edge, defying logic and critical thinking.
If you spend any time at all reading about online casino games and gambling in casinos, you’ll encounter an expression—“the house edge.”
You’ll see writers explain that blackjack house edge is the lowest in the casino, and that the slots have the worst.
You’ll see them mention that some of the bets at the craps table have a house edge of less than 2%, while other bets at the craps table have a house edge of more than 16%.
But what is the house edge in a casino game and how does it work?
This site covers some similar concepts as they relate to the math of sports betting, but the casinos’ house edge works slightly differently.
Some Probability Background that Matters
You can’t understand the house edge if you don’t understand some of the basics of probability.
Probability is just a mathematical way to measure how likely something is to happen.
When a weatherman says there’s a 50% chance of rain, he’s using probability (as well as meteorology) to express that likelihood.
And most people have an intuitive understand of probability when it’s stated as a percentage, because we use it all the time.
If you paid attention in 8th grade math, you probably already know that a percentage is just another way of expressing a fraction, and that’s all a probability is—a fraction.
To determine the probability of something happening, you just look at the number of ways it could happen and divide it by the total number of possible events.
You’re rolling a 6-sided die, and you want to know what the probability of rolling a 6 is. A 6-sided die has 6 sides numbered 1 through 6. There’s only a single 6.
Since there are 6 possible outcomes, and since only one of those outcomes is a 6, the probability of rolling a 6 is 1/6.
You can convert that to a percentage of 16.67%.
You can also convert it to “odds format,” which just compares the number of ways it can’t happen with the number of ways it can. The odds of rolling a 6 on a 6-sided die are 5 to 1.
Once you have a basic understanding of probability, you can move on to the next step, which is determining the house edge of a bet.
What Is the House Edge and Why Does It Matter?
Every bet has a payout if you win and an amount you lose if you lose. This is often the same amount, or even money.
If you’re playing blackjack, you bet one unit, and most of the time, if you win, you win one unit. If you lose, you just lose that one unit.
In other words, if you bet $100 on a hand of blackjack and win, you usually win $100.
If you lose, you usually lose $100.
That’s called even money.
(And some bets in blackjack result in bigger winnings, and you sometimes have the option of surrendering, which means you only lose half your stake. But that’s a complication that doesn’t help you understand the house edge, so I’m going to save that discussion for another blog post.)
A bet’s payout can also be expressed using odds, though.
An even-money bet pays off at 1 to 1.
A bet that pays off at 5 to 1 is also possible—if you win, you get 5 units, but if you lose, you only lose 1 unit.
In the die-rolling probability example I used above, if you have a payout of 5 to 1, you’re playing a game with no house edge.
That’s because in the long run, you’ll win as much money as you lose.
But suppose I reduced the payout for rolling a 6 to 4 to 1?
You can use statistics to determine an average amount you’ll lose per bet in this situation.
You assume 6 statistically perfect rolls of the die. This means you’ll win once and lose 5 times.
If you’re betting $100 every time, you’ll have a single win of $400 along with 5 losses of $100 each, or a $500 total loss.
Your net loss after that is $100.
Since that’s a net loss of $100 over 6 bets, you’ve lost an average of $16.67 per bet.
That’s the same thing as lose 16.67% of each bet, and that percentage is the house edge.
There are other ways to arrive at that number, but that’s the easiest method I’ve seen used.
With every online casino game you play, the house pays off your bets at odds lower than the odds of winning. This results in a mathematical edge for the house.
That’s why casinos are profitable in the long run, even though every, a percentage of their customers go home with winnings in their pockets.
Probabilities—and the house edge—are always long-term phenomena. In the short run, anything can happen.
Individual online casino gamblers are always playing in the short term.
Online casinos are always playing in the long term.
If the House Has an Edge, Why Do People Still Play Casino Games?
So if, in the long run, the house can’t lose because of the math behind the games, why do people still play?
The answer is simpler than you think:
I have a friend who visits the casino at least once a week. He loses money on 4 out of 5 visits to the casino, but on one of those 5 visits every month, he comes home a winner.
He doesn’t care that he’s losing money hand over fist in the long run. He just wants to keep getting that buzz from his occasional wins.
The human brain is irrational, especially when it comes to gambling.
How the House Edge for Various Casino Games Compare
The house edge is only one factor that affects how much you’re going to lose when you’re gambling on online casino games. Other factors include how many bets you place per hour and how much you’re betting every time you place a wager.
That being said, if everything else is equal, you should play the casino games with the lowest house edge.
Keep in mind, too, that game conditions affect the house edge, too.
In some blackjack games, a natural pays off at 6 to 5 odds instead of 3 to 2 odds. The house edge on such a blackjack game is higher.
And, in fact, blackjack is a good place to start a discussion of the house edge for various casino games. It’s widely known that the house edge for blackjack is between 0.5% and 1%, but that number assumes that you’re making the optimal move in every situation. The average blackjack player is probably giving up 2% or so in mistakes.
Craps is a game where different bets have a different house edge. If you stick with the basic bets, pass and come, you face a house edge of 1.41%, which is relatively low. The more “exciting” wagers on the craps table come with a higher house edge.
Roulette comes in 2 main versions—single zero and double zero. The double zero version of roulette is predominant in the United States, and the roulette house edge for that game is 5.26%. By removing one of the zeroes, the online casino reduces the house edge to 2.70%.
Slot machines have a house edge that varies based on the PAR sheet for the game. (That’s the logic behind the game which determines the probability of getting various combinations of symbols and the payouts for those combinations.) You can find slot machines with a house as high as 35% or as low as 5%, but you never know what the number is.
Video poker machines look like slot machines, but they offer a better house edge—if you play the hands optimally. Depending on the pay table, the house edge for video poker can be as low as 0.5% or as high as 5% or 6%.
Conclusion
And those are the basics of the house edge as it pertains to casino games.
Now that you have an understanding of the probability behind casino games and how it affects your winnings and losses, are you going to be more or less likely to play casino games?
Are you going to change the amounts you bet or the games you play?
Let me know in the comments.
If there’s one thing everybody knows about gambling it’s that the house always wins. And while it is true that casinos always make a profit, there are a number of ways to cheat the system – some of which are actually perfectly legal.
Half a century ago, mathematician Edward Thorp published a groundbreaking book outlining how a player could use “card counting” to get an advantage in the game Blackjack by keeping track of the cards left in a deck. Ever since, casinos have been trying to eradicate card counting while card counters are getting increasingly skilled at not getting caught. So is it possible to outplay casinos today? And what will it be like in the future?
Casinos are businesses and operate by building in a margin – often referred to as the house edge. If you play roulette and bet on a single number you will be paid at odds of 35-1 when the true odds are 36-1 in Europe and 37-1 in the US. The fact that you are receiving less than the true odds is the house edge and explains why casinos make money in the long term. Of course, some people have to win, otherwise casinos would cease to exist.
Advantage players
What casinos don’t like are “advantage players” – people seeking to have an edge over the house. Sometimes this involves cheating and/or illegal activities ranging from past posting (making a bet after the time when no more bets are to be taken) to collaborating at the poker table and using a computer to help make decisions.
Card counting, however, is legal. In Blackjack, the aim of the player is to achieve a hand of cards whose points add up nearer to 21 than the dealer’s hand, but without exceeding 21. Many hands are played from the same deck of cards, so what happens in one hand will influence what happens in future hands. As an example, if a ten has been played from the pack then it cannot appear in the next hand. This is different from other games, such as roulette, where the outcome of one spin has no effect on the next spin.
Card counting is based on the fact that a large proportion of high cards (such as tens, jacks, queens and kings, which are all worth ten points) left in the unplayed deck statistically improves the player’s chances. This is because a player can decide not to draw a new card to a hand such as 16, but the casino is forced to, as it follows strict rules. If there are a high proportion of high cards left in the unplayed deck of cards, the dealer has more chance of busting (going over 21). This can be combined with “basic strategy” – developed from computer simulations of millions of blackjack hands – which tells the player the best action to take for each possible card combination.
Combining card counting and basic strategy can help a player convert the (long term) house edge from 2.7%, in favour of the casino, to about a 1% advantage to the player. Of course, once you have this advantage you can increase your bet.
To give a simple example, if you were playing basic strategy and were dealt a ten and a six, and the dealer had a three showing (one of the dealers cards is visible to the player), you would stand (not take another card) as you hope that the dealer would draw a ten and bust. If you were card counting, and you knew that more low cards had been played, you might decide to increase your stake at this point.
Evolving battle
Casinos have introduced a number of measures to deter card counting. These include spotting those doing it and simply banning them from playing, or even from entering the casino. Another approach is to increase the number of decks from one to (typically) six, or even eight. Some casinos also shuffle the cards after only about 75% have been played or shuffle them constantly using automatic shufflers.
You might wonder why casinos don’t simply withdraw blackjack. Well, it remains a popular game, and one that is still profitable. There are also many would-be card counters who are not actually that good at it, and they provide income to the casinos.
How To Beat Casino Online
Many blackjack players have fought back against such measures, arguing that casinos should allow gamblers to use skill when playing the game. As a card counter operating on their own is relatively easy to spot (intense concentration, increasing bets and so on), a team of students from MIT showed it could successfully be done in teams. The idea is that somebody else counts the cards – they may not even be sitting at the table. When the count reaches an agreed value, they signal to another player, who joins the table to start betting. This is a lot more difficult to detect but casinos may stop players joining the game until after a shuffle to combat such a strategy.
Other players have used shuffle tracking, where blocks of cards are tracked so that you have some idea when they will appear. If you are given the option to cut the pack, you try and cut the pack near where you think the block of cards you are tracking is so that you can bet accordingly. A variant on this is to track aces as, if you know when one is likely to appear, you have a distinct advantage over the casino.
Full House Casino Game
It’s been 50 years since Thorp’s book, and it is unlikely that the war of wills between blackjack players and casinos will end any time soon. Some of our work has investigated how artificial neural networks (simple models of the human brain) could help evolve blackjack strategies. This was done by playing thousands of blackjack hands and the computer learning what to do in any given situation, getting better each time. There is a lot of scope to see if automated computer programs could learn even more sophisticated strategies.