Casino

The odds for each casino game are stacked in favor of the house. So why do otherwise rational people who work hard for their money and make reasoned financial decisions on a daily basis continue to throw hundreds or even thousands of dollars away based on the roll of the dice, spin of the wheel, or draw of the cards? Something about gambling encourages irrational thinking.

In the end, the house always wins. But that doesn’t stop people from walking into a bright, temperate building full of music and champagne glasses clinking to try their hand at winning some money. And, despite the fact that most people leave with less money in their pockets than when they came in, these folks still believe they have a chance to beat those odds by some miracle of luck.

A casino is a place where people come to have a good time and enjoy each other’s company. The music blaring, coins clinking and people milling around gives the casino a sense of excitement that you simply can’t find anywhere else. People come to the casino with their own goals and expectations – some trying to win big, others just looking for a good time.

In addition, casinos often offer free hotel rooms, meals and tickets to shows to players who spend a lot of time playing their games. These are called comps and they help players offset some of their losses. However, the sunk cost fallacy is still at play when someone follows up a losing bet with an even bigger bet.