32 quotes
Use "entropy" and you can never lose a debate, von Neumann told Shannon - because no one really knows what "entropy" is.
Fortune's Formula (2005)
The ultimate compound return rate is acutely sensitive to fat tails.
Fortune's Formula (2005)
The assumption that anything true is knowable is the grandfather of paradoxes.
Labyrinths of Reason (1988)
The best paradoxes raise questions about what kinds of contradictions can occur—what species of impossibilities are possible.
Labyrinths of Reason (1988)
Your second ducat, like your second million, is never quite as sweet.
Fortune's Formula (2005)
In real conversations, we are always trying to outguess each other.
Fortune's Formula (2005)
For reasons mathematical, psychological, and sociological, it is a good idea to use a money management system that is relatively forgiving of estimation errors.
Fortune's Formula (2005)
Paradox is thus a much deeper and universal concept than the ancients would have dreamed. Rather than an oddity, it is a mainstay of the philosophy of science.
Labyrinths of Reason (1988)
At a bare minimum, understanding entails being able to detect an internal contradiction: a paradox.
Labyrinths of Reason (1988)
Samuelson, however, hedged his personal bets - by putting some of his own money in Berkshire Hathaway.
Fortune's Formula (2005)
The best strategy is one that offers the highest compound return consistent with no risk of going broke.
Fortune's Formula (2005)
The story of the Kelly system is a story of secrets - or if you prefer, a story of entropy.
Fortune's Formula (2005)
The problem with winning at blackjack and sports betting is that sooner or later a big guy in a suit tells you to leave.
Fortune's Formula (2005)
Expectation is a statistical fiction, like having 2.5 children.
Fortune's Formula (2005)
Far from preventing gambler's ruin, martingale accelerates it.
Fortune's Formula (2005)
To hedge the bets he made every working day, Meriwether kept a set of rosary beads in his briefcase.
Fortune's Formula (2005)
Samuelson spotted a mistake in Bacheliers work. Bachelier's model had failed to consider that stock prices cannot fall below zero.
Fortune's Formula (2005)
The more improbable the message, the less "compressible" it is, and the more bandwidth it requires. This is Shannon's point: the essence is its improbability.
Fortune's Formula (2005)
Kelly was aware that there is one type of favorable bet available to everyone; the stock market.
Fortune's Formula (2005)
Shannon's most radical insight was that meaning was irrelevant.
Fortune's Formula (2005)