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curiousfinguy111 karma

Alright, I'm going to be a jerk and ask this.

There's a passage in The Quants where you are explaining the Law of Large numbers and you write

Ten flips of a coin could produce seven heads and three tails, 70 percent heads, 30 percent tails. But 10,000 flips of a coin will always produce a ratio much closer to 50-50.

This is the negation of the Law of Large Numbers. In fact, you italicized the part that it makes it wrong. 10,000 flips of a coin could most certainly wind up being further from the expected outcome than 10 flips.

Maybe this was just an uncaught error, but the question my friends and I all ask is how can we trust someone who appears not to understand one of the most basic results of statistics to explain a complicated financial system to us?