THE MATHEMATICS OF GAMBLING By Dr. Edward O. ThorpTable of Contents SECTION ONE—CARD GAMES 1 Chapter 1: Introductory Statement. . Chapter 2: Blackjack. Chapter 3: Baccarat SECTION TWO—THE WHEELS 4 Chapter 4: Roulete....... Chapter 5: The Wheel of Fortune SECTION THREE—OTHER GAMES. Chapter 6: Horse Racing . Chapter 7; Backgammon « SECTION FOUR—MONEY MANAGEMENT ........ ‘Chapter 8: Mathematical Systems ..........-.1I3 Chapter 9: Optimal Betting .... Appendices «... Keeping Your Gaming Knowledge Current ......14LAbout the Author ‘Edward Thorp i adjunct professor of finance and mathematios atthe University of California at Irvine, where he has taught courses in finance, probability and functional analysis. He previously taught atthe University of California at Ls Angeles, the Masachusens Instnte of Technology and New Mexico Ste University ‘Thorp’ interest in gambling dates back almost 30 years, while Ihe was tll in graduate school at ICT-A. Tt was bere that he fist formulated his dream of making money from the development ‘ofa scientifically based winning gambling systema, His first sub- Jest of study was the roulewe wheel, which offered him the op- Foray fuse modern pss o pect te resin place With the roulete work unfinished, Thorpsatenton was diverted by the blackjack work of Raldwin, Cantey, Mrizel and MeDer- ‘ott. He st to work on this new problem. With the ad of com- puter, Thorp developed the basic strategy and the five-couat, en- ‘count and ultimate counting strategies. He used these methods