Gambler’s Fallacy

 

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Gambler’s Fallacy – Fall for it and Lose Like Crazy

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The Gambler’s fallacy is the belief that if deviations from expected behavior are observed in repeated independent trials of some random process then these deviations are likely to be evened out by opposite deviations in the future. If one is invoking this fallacy then in the future is usually considered to be while the player is currently playing.

This is a fallacy of enormous proportions if carried too far since it is based on something other than mathematical probabilities. It’s just as bad if based on a few occurrences of a favorable event or even an unfavorable event.

Gambler’s fallacy, also known as the Monte Carlo fallacy or the fallacy of the maturity of chances. [...]

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