Two mechanical betting rules were applied to games in the National Football League for the 2000-2008 seasons. Wagers of $11 (to win $10) on all NFL underdogs produced a net loss of $717. When bets were limited to visiting underdogs, only $395 (or $44 per year) was lost. The results suggest that...

Football point spreads were designed to divide the betting public in half and turn transaction costs into risk-free returns for gambling operators. Invariably, one team will be better than its opponent and, in the absence of a point spread, would naturally be the bettors' choice. By awarding a...