A wise crowd doesnt apply in democracy as we know it, as decsiions by individual contributers can be influenced by peer pressure.
Bookmakers don't always balance the book, typically theyll carry a losing and winning position on every market.
On football, typically an odds on home favorite will take 80%+ of the money, even if the odds are just 5/6. It doesnt mean the bookie slashes the odds on the team to 1/5, as the 5/6 still represents the teams fair chance of winning the game minus their over round.
The weight of money doesnt necessarily predict which way a result will go. If Hibs v Hearts was priced up as 100/1 Evens 1/200, the 100/1 would be the value bet and would probably take 100% of the money, which has no bearing on the actual match being gambled on Hibs would still be expected to win 1 time out of 3.