Slot is a term used in gambling to refer to the set of symbols that appear on a casino game’s reels. A player can win credits by spinning the reels and matching a winning combination of symbols. A slot machine’s payouts are determined by its pay table, which lists the number of credits a player can win for matching certain symbols. These pay tables are usually displayed on the screen of the slot machine and are easy to read.
In order to compete with video games and attract younger players, slot manufacturers have begun incorporating new technology into their machines. Video monitors, 3D graphics, and group competition have all been introduced to lure gamblers back into casinos. In addition, slots are now being designed with pop culture personas in order to appeal to a younger generation of players.
While these changes have been beneficial to casino owners, they may also result in a higher house edge for the players. To minimize the effects of this higher house edge, many casinos have adopted a policy of increasing their jackpot sizes and reducing the frequency of smaller payouts. While this has been successful in attracting new gamblers, it has also led to complaints from existing patrons who feel they are being shortchanged. The research reported in this paper is aimed at developing models to determine how much the increased house advantage will affect the performance of a slot machine. The models will be tested using data from a large, geographically distributed sample of slot machines.