At odds with reality? The economics of betting
Economic analysis of traditional high street bookmakers and Internet-based betting exchanges shows that it is the lower cost base of the latter that allows punters to be offered more favourable odds than those offered by high street bookmakers. However, for larger bets, which need to be executed immediately, bookmakers may offer better odds than exchanges, since large bets on the latter can change the market clearing price.
Related
RIIO-3 Final Determinations
On 4 December 2025, Ofgem published its Final Determinations for the upcoming RIIO-3 price control lasting from April 2026 to March 2031 for the electricity transmission, gas transmission, and gas distribution sectors. For electricity, Ofgem’s priority has been the delivery of the infrastructure, to increase energy security and resilience and… Read More
Fragmentation, competition and the EU CSD landscape
There is growing attention from policymakers on the design and functioning of the market for central securities depository (CSD) services in the EU.1 This is an important debate with implications for investment and the real economy. The efficiency of trading and post-trading services affects overall execution costs for… Read More