Comment Comment by cataflam Because you shouldn't use the simulator to calculate the EV, or said differently your n=1000000 is too small.Assuming you used the first lottery example (Mega Millions), the EV is easy to calculate directly and is -$0.66/ticket, ie -33%The jackpot is a whole $1 of that EV! Without it, the EV is -$1.75/ticket, ie -87%, which is closer to what you got in the simulation. parent cataflam 2 years ago
Assuming you used the first lottery example (Mega Millions), the EV is easy to calculate directly and is -$0.66/ticket, ie -33%
The jackpot is a whole $1 of that EV! Without it, the EV is -$1.75/ticket, ie -87%, which is closer to what you got in the simulation.