> In the given game, the collective loses money just as the individual does.
No, they don't. If 100 people starts with $100 (i.e. a total wealth of $10,000), and half of them win as expected, the total wealth at the end of first round will be $10,500.
Granted it won't be a 5% increase for the next round, and eventually collective wealth will also approach 0, but that's the point. 100 people playing 1 round is not the same as 1 person playing 100 rounds.
No, they don't. If 100 people starts with $100 (i.e. a total wealth of $10,000), and half of them win as expected, the total wealth at the end of first round will be $10,500.
Granted it won't be a 5% increase for the next round, and eventually collective wealth will also approach 0, but that's the point. 100 people playing 1 round is not the same as 1 person playing 100 rounds.