Rolexsweep
Authorized
- Joined
- Jan 19, 2015
- Location
- Norway
You can compare this whole situation with an experiment i once read about:
)
You never read about that, because no researcher would ever in the history of mankind present those two options in a case study on human decision making. $10 vs. $100 ($110, apparently you can port your Nost character over).
You are mixing the Time Value of Money-example and the Risk-Aversion example.
1. TVM: $10 is worth more today than in one month because of interest, in which case Nost would be the ideal choice.
2. Risk-Aversion: You have 100% chance of getting $10 or 50% chance of getting $25. Most people choose option 1 because they are risk-averse, allthough the riskier option is the one with the highest expected value, thus the rational choice.