Earlier quoted context omitted.
> How do you square that with giving people autonomy? The Libertarian Free Market answer is that both parties need to be fully informed. Casinos would be required to post maximum win rates and otherwise fully detail their "we throw out anyone that wins" policy up-front, in a clear and easily understood format. If the casino writes a bad, exploitable policy, they go bankrupt being exploited and this encourages future…
The maximum win rates part is normally clear by the game (for example, for Roulette or Blackjack you can see odds) or otherwise regulated by local/government laws (e.g. for games of pure chance like slot machines). > and otherwise fully detail their "we throw out anyone that wins" policy up-front They can just ask the gambler to leave the premises - I cannot imagine some 'libertarian free market' solution which would…
That's the AVERAGE win rate.
The maximum win rate is "if you make more than $10,000 in profit, we'll throw you out", and I've never heard of that being made explicit.
The point is that if you're going to throw out people who win more than a certain amount, you're not actually offering a fair game. There are secret rules that you haven't been told, and they very clearly bias your overall odds. You certainly shouldn't be able to advertise "you could win big!" if your policies make that impossible.
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There's clearly precent in other industries, too: If a grocery store advertises a sale on milk, they have certain obligations to offer a rain check if they run out. "According to the Fair Business Practices Act, it is unfair or deceptive if a store advertises goods without intending to sell them or to provide reasonable amounts of the advertised products without providing notice that supplies are limited."
Casinos are advertising the chance to "win big" but have no intention of ever actually paying out.