Is poker the best game for a casino?

hemstock · #1 07-29-2005, 11:28 PM

I just gave this a thought...
Two players sit down at a poker table to play heads up. The casino cuts of rake on every pot they play. So if they have an x ammount of money on the table, assumming they break even on play, the casino is eventually gonna have all of their money. Because in every hand, from the x ammount of money the players brought to the table, a y ammount of rake is taken off. So it's guaranteed that if they keep playing and playing they are gonna have nothing left. The casino is actually risking nothing and it's guaranteed to win everything. Is that correct?
On the other hand, on roulette the house is also guaranteed to win, but they are actually risking money. If the players have a good day or hit jackpots or something, the casino has to pay them. But in poker they don't risk anything. And the profit for the casino from the poker tables grows way faster than the other games.

Is that correct?

quinn · #2 07-29-2005, 11:48 PM

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The casino cuts of rake on every pot they play. So if they have an x ammount of money on the table, assumming they break even on play, the casino is eventually gonna have all of their money.

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Yes, if they keep playing until they have no money..

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So it's guaranteed that if they keep playing and playing they are gonna have nothing left.

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Right.

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The casino is actually risking nothing and it's guaranteed to win everything. Is that correct?

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Everything? No. They will take a rake on every pot over a certain amount, though.

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On the other hand, on roulette the house is also guaranteed to win

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Wrong.

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but they are actually risking money.

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Yes.

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If the players have a good day or hit jackpots or something, the casino has to pay them. But in poker they don't risk anything.

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Yes.

TomCollins · #3 07-30-2005, 12:41 AM

2 words, Opportunity Cost.

Theoretically, its better to be a poker dealer than a player, since you always get paid, and as a player, you might lose.

quinn · #4 07-30-2005, 07:32 AM

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2 words, Opportunity Cost.

Theoretically, its better to be a poker dealer than a player, since you always get paid, and as a player, you might lose.

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This is a joke, right?

YM2K58 · #5 07-30-2005, 07:53 AM

In the long run, the house is guaranteed to win at roulette. On a double zero wheel, the house win percentage is a little over 5%.

bobman0330 · #6 07-30-2005, 11:12 AM

The house edge on a 2-4 table might be better than their win rate against people betting $2 on a roulette wheel. However, the rake in high stakes games is very small, and their expectation is small compared to players making $100+ wagers on a roulette wheel

AlphaWice · #7 07-30-2005, 07:26 PM

casino is an investment company. They dont care about risk because they are properly bankrolled. Poker is not the best game for the casino because it has low edge. Games with large house edges are good for the casino, period.

Siegmund · #8 07-30-2005, 09:21 PM

The house takes on no risk when players play against each other. That much is true.

How much the house makes depends on the size of its edge - and, as others have mentioned, the house makes a huge profit if it is willing to take large bets on the games played against the house.

The big difference is that in order to open a casino you require millions of dollars from your investors, to cover short-term swings - whereas you can open a poker room if you have a building and just a few thousand dollars for tables, chairs, and chips. (Most states require poker room operators to post large bonds, however, to prevent shady operations from opening, robbing their players, and then closing.)

ThinkQuick · #9 07-31-2005, 05:24 AM

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The house edge on a 2-4 table might be better than their win rate against people betting $2 on a roulette wheel. However, the rake in high stakes games is very small, and their expectation is small compared to players making $100+ wagers on a roulette wheel

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I'm not exactly sure whether you are thinking what I am, but it is possible to interpret your post that way.
The casino is not making more money raking your poker game than they are running the bevy of very -ev table games or the very lucrative slots.

chrisg · #10 07-31-2005, 02:25 PM

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casino is an investment company. They dont care about risk because they are properly bankrolled. Poker is not the best game for the casino because it has low edge. Games with large house edges are good for the casino, period.

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Absolutely. Floor space is also a massive issue. You can fit a lot more slot machines in a casino making a bigger margin than you can poker tables.