Derren Brown’s lottery win = A split camera trick disguised as “wisdom of crowds”

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Derren Brown: How to Win the Lottery (Channel 4 in the U.K.)

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On 9 September 2009, [British illusionist] Derren Brown conducted a live TV broadcast in which he suggested that he had successfully predicted the winning National Lottery numbers prior to them being drawn. During the broadcast a number of blank lottery balls were displayed on a glass stand in clear view of the camera, and after the lottery draw had been made, the balls were rotated to reveal the winning numbers. It was claimed by Derren Brown that the only other people in the studio were two camera operators, to avoid legal issues, and that the stunt had been authorised by Camelot, the National Lottery operators.

Great Britain is buzzing like crazy about the stunt.

He claimed it was based on an old trick which tells how a crowd of people at a country fair accurately estimated the weight of an ox when their guesses were all averaged out. He gathered a panel of 24 people who wrote down their predictions after studying the last year’s worth of numbers. Then they added up all the guesses for each ball and divided it by 24 to get the average guess. On the first go they only got one number right, on the second attempt they managed three and on the third they guessed four. By the time of last week’s draw they had honed their technique to get six correct guesses, and these were the numbers shown on the Wednesday night programme. [Derren] Brown claims that the predictions were correct because of the “wisdom of the crowd” theory which suggests that a large group of people making average guesses will come up with the correct figure as an average of all their attempts. He also suggested that if the people were motivated by money, it may not work.

Well, we know a lot about the “wisdom of crowds“, here, as Midas Oracle specializes in collective intelligence. The idea of the “wisdom of crowds” is to aggregate bits of information that are dispersed in a population of independently minded individuals. The result of that information aggregation is a predictive power slightly superior (on average, over the long term) to what one single individual can produce —even a gifted one. However, the “wisdom of crowds” is not powerful enough to predict the future with 100% certainty. For that, you would have to reverse the psychological arrow of time —so as to remember the future as opposed to the past. Physicists tell us this is impossible in our universe. Hence, Derren Brown used a trick [WATCH THE 3RD VIDEO BELOW] —and concealed it with some blahblah about the “wisdom of crowds”.

“Check the ball on the right after Derren Brown says ‘23′. Notice it mysteriously jumps up and is slightly higher than the other 5 balls. (apologies for the camera wobble but my camera is on a tripod, the wobble is from the camera on the show which is programmed to wobble so you can’t see the switch of the balls). So no magic, NLP, psychology or mind-tricks. Just good old fashioned camera trickery.

How Derren Brown ‘divined’ the lotto numbers:

For the tip, thanks to Emile Servan-Schreiber of NewsFutures —we’re impatient to see the new version of their software / prediction market website.

Next: Why did illusionist Derren Brown invoke the “wisdom of crowds” in his lottery win explanation?

UPDATE:

His next event: Trying to beat the casino.

Science Of Scams – Advert from Phillis Dorris on Vimeo.

Another video

Another video

Derren Browns lottery win = A split camera trick disguised as wisdom of crowds

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Derren Brown: How to Win the Lottery (Channel 4 in the U.K.)

derren-brown

On 9 September 2009, [British illusionist] Derren Brown conducted a live TV broadcast in which he suggested that he had successfully predicted the winning National Lottery numbers prior to them being drawn. During the broadcast a number of blank lottery balls were displayed on a glass stand in clear view of the camera, and after the lottery draw had been made, the balls were rotated to reveal the winning numbers. It was claimed by Derren Brown that the only other people in the studio were two camera operators, to avoid legal issues, and that the stunt had been authorised by Camelot, the National Lottery operators.

Great Britain is buzzing like crazy about the stunt.

He claimed it was based on an old trick which tells how a crowd of people at a country fair accurately estimated the weight of an ox when their guesses were all averaged out. He gathered a panel of 24 people who wrote down their predictions after studying the last year&#8217-s worth of numbers. Then they added up all the guesses for each ball and divided it by 24 to get the average guess. On the first go they only got one number right, on the second attempt they managed three and on the third they guessed four. By the time of last week&#8217-s draw they had honed their technique to get six correct guesses, and these were the numbers shown on the Wednesday night programme. [Derren] Brown claims that the predictions were correct because of the &#8220-wisdom of the crowd&#8221- theory which suggests that a large group of people making average guesses will come up with the correct figure as an average of all their attempts. He also suggested that if the people were motivated by money, it may not work.

Well, we know a lot about the &#8220-wisdom of crowds&#8220-, here, as Midas Oracle specializes in collective intelligence. The idea of the &#8220-wisdom of crowds&#8221- is to aggregate bits of information that are dispersed in a population of independently minded individuals. The result of that information aggregation is a predictive power slightly superior (on average, over the long term) to what one single individual can produce &#8212-even a gifted one. However, the &#8220-wisdom of crowds&#8221- is not powerful enough to predict the future with 100% certainty. For that, you would have to reverse the psychological arrow of time &#8212-so as to remember the future as opposed to the past. Physicists tell us this is impossible in our universe. Hence, Derren Brown used a trick [WATCH THE 3RD VIDEO BELOW] &#8212-and concealed it with some blahblah about the &#8220-wisdom of crowds&#8221-.

&#8220-Check the ball on the right after Derren Brown says &#8216-23&#8242-. Notice it mysteriously jumps up and is slightly higher than the other 5 balls. (apologies for the camera wobble but my camera is on a tripod, the wobble is from the camera on the show which is programmed to wobble so you can&#8217-t see the switch of the balls). So no magic, NLP, psychology or mind-tricks. Just good old fashioned camera trickery. &#8221-

How Derren Brown &#8216-divined&#8217- the lotto numbers:

For the tip, thanks to Emile Servan-Schreiber of NewsFutures &#8212-we&#8217-re impatient to see the new version of their software / prediction market website.

Next: Why did illusionist Derren Brown invoke the &#8220-wisdom of crowds&#8221- in his lottery win explanation?

UPDATE:

His next event: Trying to beat the casino.

Science Of Scams &#8211- Advert from Phillis Dorris on Vimeo.

Another video

Another video

Do businesses need enterprise prediction markets?

Competitive advantage can be obtained either by differentiation or by low cost. Enterprise prediction markets certainly don&#8217-t foster the innovation process, and they are surely not the cheapest forecasting tool. EPMs require special software, the hiring of consultant(s), the participation of all, and a budget for the prizes. EPMs are costly, and they take time to deliver. As of today, I can&#8217-t see why any sane CEO should be implementing EPMs as a decision-making support. At the contrary, I would say that any sane CEO should fire any employee who tried to sneak in internal prediction markets, and should dismember any existing corporate prediction exchange. Right now.

It has been suggested that EPMs have helped Best Buy getting it right on the ‘HD-DVD versus Blu-Ray’ issue. It&#8217-s a boatload of bullsh*t. I know a lot about technology intelligence. It should be done by a smart and curious operator. There is no need of enterprise prediction markets to do this task. The tools you need consist of a bunch of IT news aggregators and a good search engine. Consider this:

The Inevitable Move Of iTunes To The Cloud

In the &#8216-cloud&#8217- piece above, there are facts and there are speculations. You&#8217-ve got much more technology intelligence reading the &#8216-cloud&#8217- piece above than you would get from a crude, plain and simple prediction market. Gimme a break with EPMs. Make no sense at all.

Contrast EPMs (which are costly) with public prediction markets (a la InTrade or BetFair), where probabilistic predictions are offered for free. That makes all the difference for the reason that the added accuracy brought by prediction markets is very small. Market-generated odds are handed out for free to journalists &#8212-still, few of them take the bait. The market-powered crystal ball is worth peanuts.

The reason CEOs are paid millions is that only a small percent of the population of business administration managers has the ability to cut through the non-sense and the balls to cut the cost of the non-sense. It is a rare skill. I am calling on CEOs to end EPMs. Right now.

Can we really assess InTrades *very short* prediction market on Van Jones?

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Carlos Graterol has a partial analysis on the Van Jones prediction market at InTrade. Basically, Carlos Graterol (an InTrade fanboy) says that InTrade should be credited for the accurate prediction.

  1. Carlos Graterol should publish what the politicians and editorialists were saying last week (the resignation calls were numerous)-
  2. The InTrade prediction market should have been created much, much earlier &#8212-when Glenn Beck started his &#8216-anti-czars&#8217- guerrilla (at the beginning of August 2009).

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Fall of the Republic: The Presidency of Barack Obama – by libertarian Alex Jones

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Our good friend Max Keiser (who appears in both the film and the teaser trailer) tells me that Alex Jones&#8217-s channel on YouTube has had 4,592,178 views. Wow.

YouTube video:

The Obama Deception on DVD

InTrade.Nets free workforce: Calling a spade… a spade.

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Here&#8217-s my answer to Jamie Burrows:

  1. Midas Oracle is an independent publication &#8212-independent from InTrade, and from the other prediction market organizations. We say what we want, here.
  2. As I explained in my comment, there are 2 situations. Case #1 is Inkling Markets and HubDub who ask for volunteers and make it clear that there is no compensation for managing the play-money prediction markets. Case #1 is as clear as spring water. Case #2 is InTrade.Net who ask for volunteers and lure them by floating a &#8220-compensation&#8220- who would be made up of proceeds from Google AdWords/AdSense. The problem is that it is well known that this program brings peanuts for the sites and pages that receive a low web traffic. (And for the high-traffic sites, the revenue collected from ads doesn&#8217-t pay for the time spent on writing for the web publication. See #4.)
  3. Luring small people into thinking they can get &#8220-compensated&#8221- by working for InTrade.Net is thus highly un-ethical &#8212-to say the least.
  4. My dear Jamie, isn&#8217-t the role of independent publications to inform readers about things that big corporations want to hide from the public?