
Prediction Market FAQ
Astral Codex Ten Podcast
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4.5, Are Prediction Markets Gambling?
Every dollar someone wins on a prediction market corresponds to someone else's loss. But the stock market tends to go up over time, as businesses expand to new areas and invent new products. Prediction markets would subsidize speculators who want to know specific questions that someday will be answered. For example, Democratic Party might subsidize a conditional market about which candidate is most likely to win the general election.
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