Considering the Harmonic Sequence "Paradox"

Vivian, Robert William (2008): Considering the Harmonic Sequence "Paradox". Published in: South African Journal of Economic & Management Sciences , Vol. NS12, No. 3 (September 2009): pp. 385-391.

Abstract

Blavatskyy (2006) formulated a game of chance based on the harmonic series which, he suggests, leads to a St Petersburg type of paradox. In view of the importance of the St Petersburg game to decision theory, any game which leads to a St Petersburg type paradox is of interest. Blavatskyy’s game is re-examined in this article to conclude that it does not lead to a St Petersburg type paradox.

• Item Type: MPRA Paper
• Language: English
• Keywords: Keywords: St Petersburg paradox; harmonic series; harmonic series paradoxes; decision theory and games of chance; decision theory paradoxes; expected values.
• Subjects: D - Microeconomics > D8 - Information, Knowledge, and Uncertainty > D81 - Criteria for Decision-Making under Risk and Uncertainty; C - Mathematical and Quantitative Methods > C9 - Design of Experiments > C91 - Laboratory, Individual Behavior

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