Originally Posted by
scottdude8
Definitely... that's a good one. As I said, I was sure there were examples I wasn't thinking of
The question for Trevor becomes one, again, of maximizing his expected income. How high of a probability do we put on the scenario where his stock drops in Year 2 versus scenarios in which his stock improves? Based on my previous analyses looking just at earnings over the next 3 years, the probability of him dropping in the draft would have to be reasonably high in order to make his expected earnings over the next few years lower than what it would be if he returns (assuming ~500k in NIL earnings). If Trevor thinks there's a non-trivial (say, >10%) chance of his stock dropping, that would change the calculus. If this is just a possibility, albeit a very unlikely one (say <5%), then I'd argue nothing much has changed.
Lots of potential stuff here... if anyone wants to pay me to make a career change from modeling the brain to modeling college basketball, I'm all ears
This is just plain wrong as an objective: it would rate a 0.50 probability of $200 million and a 0.50 probability of $000 as an expected value of $100M, and better than a 0.50 probability of $100 million and a 0.50 probability of $50 million (exp. value of $75 million).
Basketball players, just like the rest of us, need to be risk averse -- and overweight (i.e., avoid) the bad outcomes.
Sage Grouse
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'When I got on the bus for my first road game at Duke, I saw that every player was carrying textbooks or laptops. I coached in the SEC for 25 years, and I had never seen that before, not even once.' - David Cutcliffe to Duke alumni in Washington, DC, June 2013