There is a deep connection between Bernoulli's dictum and John Kelly's 1956 publication. It turns out that Kelly's prescription can be restated as this simple rule: When faced with a choice of wagers or investments, choose the one with the highest geometric means of outcomes.
William PoundstoneThe story of the Kelly system is a story of secrets - or if you prefer, a story of entropy.
William PoundstoneSamuelson spotted a mistake in Bacheliers work. Bachelier's model had failed to consider that stock prices cannot fall below zero.
William PoundstoneThe best paradoxes raise questions about what kinds of contradictions can occur-what species of impossibilities are possible.
William Poundstone