Category:Definitions/Gambler's Ruin
Jump to navigation
Jump to search
This category contains definitions related to Gambler's Ruin.
Related results can be found in Category:Gambler's Ruin.
Gambler's ruin is the classic problem to determine the probability that a gambler $G$ with an initial capital of $C$ units becomes bankrupt in a sequence of games in which:
- $G$ gains $1$ unit of capital with probability $p$
- $G$ loses $1$ unit of capital with probability $q = 1 - p$.
$G$ is ruined if and only if he loses all $C$ units.
There is usually a condition that $G$ stops on attaining a total fortune of $N$ units, where $N > C$.
Pages in category "Definitions/Gambler's Ruin"
This category contains only the following page.