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- W2482169395 abstract "This chapter provides an introduction to the fundamental principles of a theory of gambling. Gambling theory, then, is primarily concerned with decision making under conditions of risk. The making of a decision—that is, the process of selecting among n strategies—implies several logical avenues of development. One implication is the existence of an expression of preference or ordering of the strategies. Under a particular criterion, each strategy can be evaluated according to an individual's taste or desires and assigned a utility that defines a measure of the effectiveness of a strategy. This notion of utility is fundamental and must be encompassed by a theory of gambling in order to define and analyze the decision process. Since gambling involves decision-making, it is necessary to inquire as to the “best” decision-making procedure. There are differing approaches to the definition of best; for example, the Bayesian solution for the best decision proposes minimization with respect to average risk. Another method of obtaining a best decision follows the principle of “minimization of regret.” This procedure is designed for the player who desires to minimize the difference between the payoff actually achieved by a given strategy and the payoff that could have been achieved if the opponent's intentions were known in advance and the most effective strategy adopted." @default.
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- W2482169395 date "1995-01-01" @default.
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- W2482169395 title "FUNDAMENTAL PRINCIPLES OF A THEORY OF GAMBLING" @default.
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- W2482169395 doi "https://doi.org/10.1016/b978-0-08-057184-3.50028-2" @default.
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