Parimutuel is a type of betting system in which all bets are pooled together and the winners are determined by dividing the total pool among those who have bet on the winning outcome. The term 'pari-mutuel' is derived from the French words for 'mutual betting'. This system is commonly used in horse racing, greyhound racing, and jai alai, but can also be used in other forms of gambling. The term 'TOTE' is an abbreviation of 'totalisator', which is the name of the machine used to calculate and display the odds and payouts for pari-mutuel betting.