Calling any Prospect Theory expert...

Schweser study notes, SS3, p158, 1st para, on Segregation. Surely the probabilities should be 50,100% and 100,50%? There is clearly no chance of a 0? And how can you have 50,100% and 50,50% in the same determination!!?

Thanks folks,


Not an Expert!!

In the exam[ple 50% chance of wining 50 and 50% chance of 100. With expected value of 75.

Anyway you are going to win 50 at least. Thus we are sure of getting 50, that is 100%. Then other 50 may or may not happen 0% or 50%.