What would you do?

FreddyAWXFreddyAWX Red Chipper Posts: 13
edited November 2015 in Off Topic Chat
Imagine I would give you $400,000 in cash and now you have the amazing opportunity to participate in a gambling:
The buy-in is $400,000. It's a coinflip. 50% of the time you turn $400,000 into $1,000,000 and 50% of the time you lose your $400,000.

What would you do? Keep the $400,000 or take the chance to make $1,000,000?

[Edited for lots of formatting reasons -Doug H]

WHAT WOULD YOU DO?

Sign in to vote!
This is a private poll: no-one will see what you voted for.

Comments

  • Doug HullDoug Hull RCP Coach Posts: 1,867 -
    The marginal utility of the extra $100,000 is not worth the risk to the guaranteed $400,000.

    Now if I could sell the action and lock up $450,000 while investors scoop up the $1,000,000 half the time, it is even better.

    In other words, the difference in my life between $1,000,000 gift and $400,000 gift is not as great as the difference between $400,000 and $0 gift. It is the ICM of life if you will.
    Co-founder Red Chip Poker,
    Author Poker Plays You Can Use
    Author Poker Workbook for Math Geeks
  • FilthyCasualFilthyCasual Red Chipper Posts: 871 ✭✭✭
    Those are some good odds, but I'm quite content walking away with sure fire 400k in my pocket(s). Human greed is a pain. It'd be hard to put a number up that I would take the risk with, because.... I can do quite a lot with a guaranteed 400k
  • Rello242Rello242 Red Chipper Posts: 595 ✭✭
    IT depends at what stage in life im at..

    Like right now, i need $400K... Im walking away

    But lets face it, if the need isn't that great for me, im going to gamble for that chance..

    P.S. Im loone wolfing for that million dollar shot xD ... Greed will be the death of me...
    -Rello

    "Its better to give than to receive, so bet more and call less"
    Check out my HUSNG Graph: Chips-Results
    Follow All the Action On My Blog: www.rello242.blogspot.com
  • SplitSuitSplitSuit RCP Coach Posts: 4,069 -
    Doug Hull wrote:
    The marginal utility of the extra $100,000 is not worth the risk to the guaranteed $400,000.

    Now if I could sell the action and lock up $450,000 while investors scoop up the $1,000,000 half the time, it is even better.

    In other words, the difference in my life between $1,000,000 gift and $400,000 gift is not as great as the difference between $400,000 and $0 gift. It is the ICM of life if you will.

    Exactly this.

    I'd lock up $400k

    (PS. when you follow up with the same question but scale the numbers down to $400 and $1k...all answers will be night and day different lol)
    📑 Grab my custom poker spreadsheet pack right now.
    📘 Start the Preflop & Math Poker Workbook today.
  • jeffncjeffnc Red Chipper Posts: 5,001 ✭✭✭✭✭
    The more interesting question is, at what threshold does the answer change for you? Of course that's a personal question as well, so I won't pose it :)
  • Doug HullDoug Hull RCP Coach Posts: 1,867 -
    jeffnc wrote:
    The more interesting question is, at what threshold does the answer change for you? Of course that's a personal question as well, so I won't pose it :)

    I was just thinking this. Let's bracket:

    $4, whatever
    $40, roll the dice
    $400, wheee
    $4,000, briefly think about it, but lets gamble
    $40,000, ugh unclear
    $400,000, lock it up
    Co-founder Red Chip Poker,
    Author Poker Plays You Can Use
    Author Poker Workbook for Math Geeks
  • FilthyCasualFilthyCasual Red Chipper Posts: 871 ✭✭✭
    Doug Hull wrote:
    $4, whatever
    $40, roll the dice
    $400, wheee
    $4,000, briefly think about it, but lets gamble
    $40,000, ugh unclear
    $400,000, lock it up
    I'm taking the $40k, a vacation, and a new (used) vehicle.

Leave a Comment

BoldItalicStrikethroughOrdered listUnordered list
Emoji
Image
Align leftAlign centerAlign rightToggle HTML viewToggle full pageToggle lights
Drop image/file