Saturday, October 20, 2012

Why One Statistician Buys Lottery Tickets

David Wood's discussion of the probabilities of buying lottery tickets is an entertaining read:

"The decision of whether to buy a lottery ticket shouldn’t be based on the probability of winning, or the expected return of a ticket, but on the entertainment value that comes from imagining a different life. If that entertainment value compares favourably with other activities with a similar price, then go for it. Plus, it has the added bonus that you might actually win; one-in-a-million events happen every day. Someone eventually wins the big prize, and you have to be in to win" - David Woods