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Great Expectations:
This is an application of
the idea of expectation! Blaise Pascal (1623-1662)
gave an interesting argument
to show
that a rational person should believe in the existence of God.
Pascal said that
we have to make a wager whether to believe or not to believe. He suggests that
we are playing a game with two strategies, believe and not believe, with
payoffs as follows:
| |
God does not exist |
God does exist |
| Probability |
p |
(1-p) |
| Believe |
-u |
 |
| Do not believe |
0 |
-x |
Here -u represents the cost to you of passing up some worldly pleasures as
a consequence of believing that God exists. If you do not believe, and God is
a vengeful God, you will lose x. If God does exist, and you believe that God
exists, then the payoff is
.
Now to determine the strategy that is best, you
should compare the two expected values
and choose the larger of the two. In general, the choice will depend on the
value of p. But Pascal assumed that the value of
is infinite,
and so the
strategy of believing is best no matter what probability you assign for the
existence of God. Whether Pascal is correct in assigning
is,
of course, hardly a matter for mere mathematicians!!!
Next: Indicator variables and Bernouilli
Up: Discrete Random Variable 11/6
Previous: Properties of Expectation 11/6
Susan Holmes
1998-12-07