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by shocks 5197 days ago
http://www.wired.com/wiredscience/2011/07/broken-lotteries/

Here's a great article on lotteries, particularly Cash Winfall. CWF was a particularly broken lottery. In a certain season it was possible to purchase enough tickets (say, $100,000 worth) to (almost) guarantee a profit.

https://en.wikipedia.org/wiki/Massachusetts_Lottery#Cash_Win...

1 comments

If I remember that article correctly, I think it's arguable as to whether the lottery was "broken". The lottery commission was aware about the increased odds, but they created a higher odds game due to user feedback. Massachusetts still made money off of the game (though a smaller margin than other games).

I would argue that a lottery's goal is to make money while providing entertainment, and not necessarily create an "unbeatable" game.

The game was shut down because public outcry at what the public deemed "unfair" and not because it was losing money.

Changing the odds isn't the same as changing the expected value. Cash Windfall modified the EV of the lower prizes by increasing the value.
You're absolutely right, I misspoke.