On Fri, 15 May 2009 11:12:53 -0700, Darren New wrote:

> Jim Henderson wrote:
>> On Fri, 15 May 2009 09:58:20 -0700, Darren New wrote:
>> 
>>>  There's also a utility
>>> function that changes based on the amount of money you're betting.
>> 
>> That "utility function" can be represented as a mathematical formula,
>> though.  It isn't a single equation, arguably, and each person's
>> assessment of the risk involved would be different, but that's what
>> "playing the odds" is, isn't it?
> 
> Right. But disagreeing with someone else's utility function isn't
> "stupid" or "being better at math".   It's the same math. You're just
> disagreeing with the value people put on their money.

Well, with the value they put on their money and their perception of the 
chances of their probability of a gain being worth the risk of losing 
their investment.

Jim

Post a reply to this message