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Comment by Ididntdothis | Hacker News Reader

As a bank you could probably hire 30 analysts who make random predictions over a few years. One of them would probably be right and you have your superstar who can attract clients.

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Yeah, there's actually an old sports betting scam that works similarly. You send out letters to tons of potential gamblers saying something to the effect of 'The <team>'s games are fixed and I've got the inside info. To prove it, I'll predict the winner of the first n games' Then each week, you send half the group one prediction and the other half the other. Whichever half was wrong, you ignore, and the the 'correct half' you repeat with the next week. After n weeks, you have 1/(2^n) of your original group who've seen you be right each week, and at your desired n, you ask for money to keep going.

It's an interesting scam, but we all know how quickly n grows in this scenario. You'd need 66k potentials to have one correct guess, per team, per season in the NFL. And the "winner" of you lottery needs to have enough scratch to make your scam worthwhile, and be dumb enough to part with it for a peak of your post-season picks.

I think with some common sense and understanding of the sport you can probably narrow down things quite a bit.

Turning to baseball there are teams like the '62 Mets that really help a fella out when "narrowing." The 2003 Tigers were not far ahead.

Point spreads negate common sense and understanding. Remember touts sell you who to bet on, not who is going to win.

Why would you send more than 3 or 4 free "predictions"?

Yeah, not only you get a bigger pool of victims with a few predictions, and the idea is that you want there to be games left in the season, so they pay you money for the predictions of the rest of the season so they can gamble.

Yeah they made an episode of Alfred Hitchcock Hour based on that scam. So it's a golden oldie.

The modern version of that is writing a file for each possible outcome to a private Dropbox, and then delete all the wrong files. You can then make the folder public and tout how you clearly wrote it before the tournament began, because Dropbox wouldn’t lie just for you.

There is an old investment scam where you start with sending a few thousand letters with half saying gold is going up and the other half saying gold is downing down.

Initially, half the people got "good" investment advice. Send another letter to the people who got the "good" advice say the US dollar is going up or down spilt equally. Again, half the people got "good" advice, so send another letter to the people who got two lots of good advice ie a quarter of the original number. Continue to send letters to the "winners" with half saying buy a commodity and the other half to sell the same commodity.

If you started with 2,000 marks after four letters you have 250 people who would have made "a very large ROI" if you had followed our investment advice. Then you sell them some very bad shit or a subscription to your investment newsletter.

Morral: Past performance does not mean it will continue.

This can be done even easier these days. No need to target people. Just start a bunch of twitter accounts, then delete/hide the ones that are wrong. Promote the "correct" one.

I've seen magicians do similar things with prediction tricks.

If you are making lots of trades, you probably will need more than 30 analysts. Something close to infinity.

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