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Addiction Markets

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387 points toomuchtodo | 1 comments | | HN request time: 0.423s | source
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cal_dent ◴[] No.45775961[source]
There has recently been many looks at the epidemic in gambling. Wonder how all of the focus seem to happen at the same time

Off the top of my head:

https://www.bloomberg.com/news/articles/2025-10-31/great-bri...

https://kyla.substack.com/p/gamblemerica-how-sports-betting-...

https://www.ft.com/content/e80df917-2af7-4a37-b9af-55d23f941...

https://www.dopaminemarkets.com/p/the-lottery-fication-of-ev...

https://www.investors.com/news/investing-gambling-robinhood-...

https://www.bloomberg.com/graphics/2025-premier-league-footb...

https://www.ft.com/content/a39d0a2e-950c-4a54-b339-4784f7892...

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nicce ◴[] No.45777881[source]
I find it odd that almost nobody ever refers stock trading as gambling. While for most persons it is nothing else.
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bfg_9k ◴[] No.45778973[source]
Because stock trading isn't zero sum.
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laterium ◴[] No.45779333[source]
Yes, it is negative sum after transaction costs and taxes.
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bfg_9k ◴[] No.45779814[source]
No, it's not. Person A buys stock 1, stock one goes from $10 to $15. Person A makes $5. Person B buys it at $15 and then it pays a $1 dividend, person B makes $1. It's not zero sum, everyone can win.
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1. laterium ◴[] No.45786607[source]
If we're talking trading, it means a short timeframe, let's say over a few days. The stock market doesn't really grow over a few days, it's basically zero sum. So every gain you make is balanced by someone else's loss. The issue is both the sellers and buyers are paying transaction costs and taxes, which makes it actually negative sum.

If person A waited a few days and the stock shot up, then it's basically gambling since no stock has 50% expected returns in a few days. These are the "random" fluctuations in the market. Another person made a similar bet and their stock went to $5 instead, losing money. Overall it's negative sum.

If person A waited a few years instead and their stock went up to $15, sure then it's different. But it's stock investing, not trading. They made a profit because they held stocks, not traded them. You also get dividends for holding stocks, not trading them.

You are only ever expected to make money from trading stocks since you kind of also have to hold the stocks for a bit. Stock traders accidentally invest and that's how they make any money at all compared to pure gamblers.

Note that I am talking about the vast majority of stock traders here but not the financial experts or algo trading firms that try to find inefficiencies and exploit them. They can actually help with price discovery and profit by making the markets more efficient. But even they're only making calculated bets at best much like good poker players. Most regular people have no chance.