3 ms·
> This is because on average, you will gain $1 with every coinflip. For those interested in the maths, you have a 50% chance of winning $2, and a 50% chance of
by tobyhinloopen 6y ago
> This is because on average, you will gain $1 with every coinflip. For those interested in the maths, you have a 50% chance of winning $2, and a 50% chance of losing $1, 50% * (+2) + 50% * (-1) = +$0.50.
Interesting
- deleted 6y ago[deleted]
- TacticalCoder 6y agoAs as already been pointed out it's not correct. Your EV, although positive, is +$0.50 cents, not +$1. Another nitpick: in Poker you'd more see the $1 as the price to participate, and $3 as the gain (because in Poker what you put in the pot is considered "not yours" anymore). So the math is ($3 * 0.5 -$1), which also gives 50 cents and which, arguably, is more logical (but really it's a minor nitpick). As the problem is presented in the article you wouldn't see it that way but then Poker is mentioned so...