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But when looking at a possible positive outcome, such as the lottery case, it can "make sense" to buy one ticket. Your chance of winning goes from No Chance to
by blunte 5y ago
But when looking at a possible positive outcome, such as the lottery case, it can "make sense" to buy one ticket.
Your chance of winning goes from No Chance to A Chance, which is an infinite improvement.
- ska 5y agoThat's not how this works as a rational investment choice. It's true that you can never win a lottery you don't enter, but the expected value of that ticket is vastly lower than what you paid for it. That means, as an investment, your $10 will be expected to do better in literally anything with a positive return. If you are buying > $10 worth of dreaming (for you), fine - but that's consumption.