I have always enjoyed game shows. Although I have never been on one it is fun to think about different strategies to win.
Recently I was listening to a episode of a great podcast series called Choiceology. It is about how we make choices especially focusing on the factors that lead us astray in those decisions. The specific episode dealt with how framing decisions in terms of potential loss leads us to different decisions than framing them in terms of potential gain. In the episode they interviewed a contestant from the show Deal or No Deal.
I finished the episode not only pondering how we frame problems, but realizing that the contestant made a huge mathematical error that skewed his thinking even as much as the framing. In fact, it is a problem that is encountered on other game shows including one called Let’s Make a Deal.
To explain why a poor grasp of probability not only hurts our ability to win game shows but also to make other important life decisions, I wrote an article to explore the topic. The core of the piece discusses a classic puzzle known as the Monty Hall Problem.
Here is the puzzle. You are a contest on Let’s Make a Deal. Your game is to pick one of three doors. Behind one is a new car and behind the other two are goats. (For purposes of play assume you want the car.) Monty Hall invites you to pick a door, so let’s say you choose Door #1. Monty, who knows what is behind each door, opens Door #3 to reveal a goat. Then he gives you the opportunity to switch your choice to Door #2. The question: Are your chances of winning the car better, worse, or no different if you switch doors?
Read the entire article to learn the correct answer to this problem and how the Deal or No Deal contestant should have behaved.