A slot is an empty position that can be occupied by another element, such as an object or a control. The term is also used to refer to a specific position on a computer motherboard, especially an expansion slot that holds a memory module or a graphics card.
The modern casino has a lot in common with a slot machine: it combines engineering acumen, mathematical know-how and psychological deceit into one beautiful package. The machine, known as a slot because it uses reels to display symbols, is designed with a theme and typically offers payouts based on the combination of symbols that appear. Most slots have a certain look, with classic symbols like fruits, bells and stylized lucky sevens, or objects related to the game’s theme.
Most casinos make the bulk of their profits from slot machines, so they have a vested interest in keeping them happy. To that end, they try to lower the house edge, which measures the long-term difference between the amount of money wagered and the sum paid out.
But despite the importance of slot machines to casino operations, there are few empirical studies that explore possible influences on individual machine business volumes. This study seeks to expand on the work of Lucas and Roehl (2002) to better understand why the results of a given slot machine may vary so much. Ultimately, it will contribute to our understanding of the nature of slot machine business volumes.