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On the Economic Interpretation of the Concepts of Mathematical Expectation and Moral Expectation and their Counterexamples: The Classical Solutions

Last modified: 2019-06-16

#### Abstract

The historical analysis of the scope of the mathematical expectation definition, as the fair bet that should be risked to participate in a game, allowed to conclude, on the one hand, that the assumed paradoxes mentioned in literature are generated when their idealized interpretation is left aside and the factual aspects of their execution are considered and, on the other hand, that, although none of the solutions proposed in the classical probability field is completely satisfactory, they gave rise to an in-depth revision of the fundamentals of the theory of probability.

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