On the Positive Expected Utility of Combination Wagers

Buraimo, Babatunde ORCID: 0000-0003-3928-5624, Peel, David and Simmons, Rob (2016) On the Positive Expected Utility of Combination Wagers. DECISION ANALYSIS, 13 (3). pp. 209-212.

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Abstract

<jats:p> We demonstrate that a utility maximizing individual with an everywhere concave utility function may optimally wager on two or more outcomes in an event even though the expected returns to a unit stake are negative on all outcomes except one. </jats:p>

Item Type:	Article
Uncontrolled Keywords:	expected utility, optimal wagering, combination wagers on an event
Depositing User:	Symplectic Admin
Date Deposited:	26 Sep 2016 10:42
Last Modified:	19 Jan 2023 07:29
DOI:	10.1287/deca.2016.0334
Related URLs:	Author Publisher
URI:	https://livrepository.liverpool.ac.uk/id/eprint/3003458