December 08, 2008
What are the Odds?
Jack Curry talks with Jay Rood about the way sports books set World Series odds:
Rood said that two consulting services provided MGM Mirage with an endless flow of information and that he also received insight from his casino managers and supervisors in establishing odds. There are numerous factors that determine a baseball team's odds, including, of course, how it performed last season, how its players are expected to do in the new season and what kind of players it has added. Before Rood sets or revises a team's odds, he has digested details from about 50 associates.
In addition, Rood explained how the amount of money that was bet on a team also impacted the odds. The casino wants to make money, but it also does not want to lose too much money. So, if there is a lot of action on a particular team to win the World Series, Rood will lower its odds to balance the betting.
"Let the public bet the way they want to bet," Rood said. "I'll set our position on what's best for the company and scout the little percentage we want to operate on. If you go in wanting to hit home runs left and right, you might have a short career at this."
The Pirates are the long shots this year at 150-1.