Friday, July 26, 2013
Betting on luck, literally
?This is quite interesting:
Jordi Brandts and colleagues got a group of students to predict a sequence of five coin tosses, and then selected the best and the worst predictor. They then asked other subjects to bet on whether the best and worst predictor could predict another five coin tosses. The subjects were told that they would bet on the worst predictor from the first round, unless they paid to switch to the best predictor.
82% of subjects paid to make the switch.
But of course, there is no such thing as an ability to predict the toss of a coin. Most subjects, then, saw skill where there was only luck. And, what's more, they were willing to spend good money to back this daft opinion.
These people weren't just idiots plucked from the street. They were fourth year finance undergraduates at one of the best universities in Spain.
Glove-slap: Tyler.
Recent comments
Older comments
Page 1 of 150 pages 1 2 3 > Last ›Complete Archive – By Category
Complete Archive – By Date
FORUM TOPICS
Jul 12 15:22 MarcelsApr 16 14:31 Pitch Count Estimators
Mar 12 16:30 Appendix to THE BOOK - THE GORY DETAILS
Jan 29 09:41 NFL Overtime Idea
Jan 22 14:48 Weighting Years for NFL Player Projections
Jan 21 09:18 positional runs in pythagenpat
Oct 20 15:57 DRS: FG vs. BB-Ref
Apr 12 09:43 What if baseball was like survivor? You are eliminated ...
Nov 24 09:57 Win Attribution to offense, pitching, and fielding at the game level (prototype method)
Jul 13 10:20 How to watch great past games without spoilers