Time Magazine: Tight Is Right

First we had Kiplinger\’s embracing the poker religion, and now Time Magazine is getting on board … with a story that probably will do more to change my game than 76 poker books:

From Time\’s Health & Science department:

How Winning Can Mean Losing — in Poker and in Life

Doh!

It\’s really a great article, looking at a Cornell University doctoral student\’s sociological study of millions of online poker hands (via PokerTracker) to draw conclusions about the human propensity for risk in relation to rewards. In a nutshell, the more hands you win, the bigger loser you tend to be overall.

So what does this have to do with you if you don\’t gamble? It\’s the wrong question because, actually, you do. Investing, driving, buying a house and merely crossing the street are all acts that involve discernible risks and uncertain rewards. The more small returns you get from your small investments in stocks, the likelier you are to make — and lose — a big investment. The more times you get behind the wheel and speed a little bit, the likelier you are to speed a lot — with deadlier consequences.

\”These kinds of calculations are made every day,\” says Siler. \”Adultery is another good example. People get away with it countless times but they get caught just once and they lose everything.\”