Topic: Loss Aversion: A Critical Factor for Responsible Gambling. - page 8. (Read 1540 times)

Scientific concepts require research studies in order to be validated (though it is a social science, in principle). Loss Aversion is an established concept in various fields. You are right that individuals might behave differently, but knowledge will only be considered worth pursuing when it addresses universals. You might be interested in one of my old thread; Beyond the Cliché: Rethinking Human Uniqueness .

That was not my argument. I was explaining the psychological genesis behind this particular cognitive bias, how fear of shortage of food is much greater then joy of getting extra food because it is directly linked with survival.

Nobel Prize selection committee seems to disagree with you  as the Nobel Prize in Economics was awarded to Daniel Kahneman in 2002 for his work on prospect theory, which popularized the concept of loss aversion: 

I don't agree with that. In my opinion, the behavior when losing depends entirely on the personality. Some people want to turn things around in their own way, they will increase the stakes. Others, on the contrary, will completely stop playing (at least for a while), and certainly will not double down. There is such a division of people according to their constitution and character. Mesomorph, endomorph and ectomorph. The first ones will play "until they turn blue" until absolutely everyone loses. II also did not understand how overeating follows from a lack of food. If a person must avoid a lack of food, then why should he risk the "last meal" in the hope of "gorging himself"? There is no logic in this.

Yeah, humans are always trying to close the gap ASAP no matter  which field this gap is relevant to. Gamblers are always focused on their losses and being in such state do not exercise control over their emotions. I feel more than often the wild desire to retrieve immediately my  defeat in betting  which is  fighting inside my body with demand to chill a bit and stay cooled. ^{Sometimes I find a knack for changing the way of my gambling  to keep the allocated bankroll intact.}

Loss aversion is a cognitive bias in humans that shows that we tend to avoid losses more than we desire profits (twice as much). We avoid the confrontation of feeling that comes with loss, therefore taking more risk to chase losses.

Casinos use this to trap you in a vicious circle of addiction. They will give you loss-back/rake-back in the quantity, which might not have enough appeal for you to withdraw, especially after a big loss (which enabled that loss back). They will do this either by giving you your loss back or rake back in small installments (daily, weekly, or monthly) instead of giving you a lump sum amount one time. It is not that they cannot give you more, but they will deliberately do this because they want you to play with that amount and take bigger risks. After you lose that rake-back/loss-back, you will have an urge (twice as strong) to deposit and win back the lost amount (this is especially true if you are new to gambling), taking a higher risk to avoid the intra-confrontation with the fact that you have just lost x amount. The majority will lose again and again; some will even develop a defense mechanism to not even think about their big losses and continue focusing on depositing more money to cover losses.

This cognitive bias has some deep-rooted genesis in human psychology because of how we evolved. A shortage of food is more lethal than the happiness that comes with excessive food.

I am posting this because understanding this concept helps me become more responsible with my decision-making, and it might be helpful to you as well. I am eager to know opinions of other wise members.