3 ms·
Wikipedia has a much shorter summary [0], with a very useful note: > .... the expected value of the lottery only grows logarithmically with the resources of th
by theamk 6y ago
Wikipedia has a much shorter summary [0], with a very useful note:
> .... the expected value of the lottery only grows logarithmically with the resources of the casino. As a result, the expected value of the lottery, even when played against a casino with the largest resources realistically conceivable, is quite modest.
This then shows that if the max reward is limited to US GDP ($13.8 trillion), the expected value is $44.
This, for me, completely solves the paradox.
[0] https://en.wikipedia.org/wiki/St._Petersburg_paradox https://en.wikipedia.org/wiki/St._Petersburg_paradox