pari-mutuel
UK[ˌpærɪˈmjuːtʃʊəl]US[ˌperiˈmjuːtʃuəl]
n
A system of betting on races in which those who bet on the winners divide the total amount bet, after deducting management expenses and taxes, in proportion to their stakes.
Morpheme Breakdown
pari
mutuel
pari
equal
mutuel
mutual
Etymology
The term 'pari-mutuel' is a direct borrowing from French, where 'pari mutuel' literally means 'mutual betting'. The logic of the system is embedded in its name: 'pari' (bet) and 'mutuel' (mutual) combine to describe a betting pool where all participants' stakes are combined and then mutually redistributed among the winners, after deductions. This system, invented in France in the late 19th century, creates a self-contained and reciprocal market for wagers, distinct from fixed-odds betting against a bookmaker. The term entered English in the early 20th century to specifically describe this automated totalizator system used in horse and greyhound racing.
Analysis
Structure: pari (equal) + mutuel (mutual)
- pari: From French 'pari', meaning 'bet' or 'stake', itself from the Latin verb 'paria', the neuter plural of 'par' meaning 'equal'.
- mutuel: From French 'mutuel', meaning 'mutual', from Latin 'mutuus' meaning 'reciprocal, borrowed, exchanged'.
Examples
The racetrack uses a pari-mutuel system for all wagering.
His winnings were calculated based on the final odds in the pari-mutuel pool.
Pari-mutuel betting is subject to state regulation and taxation.