Flounders vs Rounders
The Difference in Playing to Win vs Just Being Social
For the poker Balla, nothing is better than when that average Joe Player sits down at a poker table. Why? Because he just sat down with money he intends to lose!
There is no more +EV situation, and most tables in a live poker room are filled with players exactly like that. When you treat No Limit Hold'em as only a game of chance instead of skill, it is not a law of probability, it's a fact for games with negative expectations: Risk of ruin is 100%.
Joes vs Pros
Joe plays when he "feels" like it; a Pro plays all the time! Joes make shortcuts when losing, but Pros know that winning doesn't depend on cards—it depends on exploiting biases.
Secrets to beating America's irrational poker players involve Behavioral Finance—part art, part science:
Common Biases and Strategies
- Illusion of Control: Believing you can influence outcomes you cannot.
- Loss Aversion: Feeling losses more deeply than gains.
- Bias Blind Spot: Ignoring one’s own cognitive biases.
- Choice-Supportive Bias: Remembering decisions as better than they were.
- Endowment Effect: Overvaluing possessions and investments.
- Confirmation Bias: Seeking evidence that supports preconceptions.
- Bandwagon Effect: Following trends without critical thinking.
- Outcome Bias: Judging results rather than processes.
- Status Quo Bias: Preferring things to remain the same.
Behavioral Finance in Poker
Poker strategies often intersect with mental biases. Understanding these biases and exploiting them can turn small edges into consistent wins. Behavioral finance shows us that emotions often override logic, leading to exploitable patterns.