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Well it can do, it's just that this is only one of the factors at play, the other main factor is to be competitive.

This is total nonsense. Bookmaking is a global industry thanks to that invention you might have heard of called "the internet". If that wasn't the case, you'd have massive arbs all over the place. As it is, arbs do happen in betting, but tend to be available for about 2 minutes when...

Why would they be any different?