The Red Or Black Bet

There are 38 numbers contained on the roulette layout - these include the numbers 1 through 36, plus the zero (0) and double zero (00). There are plenty of bets that can be made from within this area, to be sure. But outside of this area, there are several bets the player can make as well. These are known as the "outside" bets.

Outside bets are distinguisable from the "inside" bets in another, more basic way - they are made on much larger groups of numbers; each one of them constitutes a wager on 12 numbers or more at a time.

At first glance, these bets may look to be of more value to the player because the chances of winning the bets are greater. However, you'll see that the consistent percentages the house operates on in the game of roulette are still very much in place.

Here is an example of an outside bet that looks like 50-50 propositions but in fact falls a little short:

THE RED OR BLACK BET -- It is relatively simple and straightforward. Half the numbers from 1 through 36 are red, and the other half are black. In this particular instance, you would be wagering on which color the next number will be. There are boxes designated "Red" and "Black" that are located in the center of the section for outside bets, to the extreme left of the middle dozen numbers, i.e., 13 through 24. The "red or black" bet pays off at even money, even though the presence of zero and double zero, which are neither red nor black, makes it something less than an even money proposition. The chances of winning this bet are 47.37%.

Expectation (E) = [(% chance of winning) X (amount won)] + [(% chance of losing) X (-amount lost)]

E = [(18/38) X (1)] + [(20/38) X (-1)] = 18/38 + (-20/38) = -2/38 = -1/19 = -.0526 = -5.26%