small stakes hold 'em: expectation

[Julio]

i am beginning to read "small stakes hold 'em" by david sklansky. its such a difficult read, i decided to take it section at a time. i thought it would be fun to post my notes and feel the reaction. this first post is on the first topic that he covers: expectation

***

"Expectation" is the amount of money that you will win or lsoe on average by making a wager.

to calculate expectation you must take an average of all the possible results, weighted by the likelihood of each one happening.

for example: if you agree to a bet in which you have a 25% chance of winning $100 in exchange for a 75% chance of losing $12 your equation is

EV (expected value) = (1/4)(100)+(3/4)(-12)

your expected value in this situation is 16. on average you are making $16 per wager by agreeing to this bet

cool huh?

[Julio]

btw, if i'm breaking any rules by posting sections from the book please dont disable my account, i will stop after being told the first time lol

[dirty banana2007]

erm...i'm not sure either whether your breaking any rules, but i dont see the point of this posting....

If you are trying to learn from the book, perhaps you should try asking questions rather than just copying chunks of the text and posting it.

[CasinoR7]

You are better of asking questions.

[tribet]

Its much more difficult to understand this posting than to understand small stakes hold-em

[Gonso]

Tell you what OP, you can start referring to expectation as "EV" now, or "expected value". Obviously +EV is good and -EV is bad.

So, yes, you're looking for +EV situations - a very basic but very critical poker concept. Good for you.