Hot hand fallacy

Nobody can predict the results of a random event. That would make it predictable not random.

Yet, we tell ourselves stories that somehow we are the exception to the data, that success is right around the corner or past performance is indicative of future results.

We call this the hot hand or gambler’s fallacy.

This is how we stay on the hook, that with one more attempt we could win again or somehow convince ourselves there is a chance.

The truth is, suckers play the lottery. You are better off throwing your money away. Or better yet, giving it to a charity. At least it could be used for something good.

Year after year, people still continue to play the lottery.

Because money is a story.

It is a story we tell ourselves. It can be used as a tool or is something that oppresses us.