First, thanks for all of the support in the comments after the previous entry. I’m going to keep doing what I’m doing, but I wanted to clear it up for the people who may have misunderstood my intentions.

Okay, to this post’s topic…

This is pretty obvious to anyone who has been involved in any sort of gambling, not just poker. Whether it’s real estate, stocks, sports… whatever. But despite it being obvious, it’s still cool for me to see it written down and expressed clearly.

http://prospect-theory.behaviouralfinance.net/ 1. “An individual views monetary consequences in terms of changes from a reference level, which is usually the individual’s status quo. The values of the outcomes for both positive and negative consequences of the choice then have the diminishing returns characteristic. 2. The resulting value function is steeper for losses than for gains. This implies loss aversion; equal-magnitude gains and losses do not have symmetric impacts on the decision. Losses hurt more than gains satisfy; most empirical estimates conclude that losses are about twice as painful as gains are pleasurable. 3. The curve is concave for gains and convex for losses, impying that decision makers will be risk averse when choosing between gains and risk seeking when choosing between losses.”Poker is an endless game. Get a grip on yourself.

Post from 2+2 user deluz35

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5. Cross-post from 2+2…