Let's Play Break the Bank!
Thursday/June/25 2009 Filed in: Marketing / Business
It's a fairly common element of almost every game show.
The contestant has earned enough prize money in regular play to go for fast money in the bonus round. The rules are a little different here. The contestant can either bank her winnings after a correct answer or risk it all on a followup question.
If she gets it right, she doubles her money. If she gets it wrong, she loses it all and goes back to $0.
Deal or No Deal.
She has to give this a lot of thought because the wrong choice could cost her big time. If she's too cautious she could leave money on the table. But if she's overly confident, she could lose everything.
Her decision has consequences. If it didn't, she would go for the big money every time.
Economic Meltdown: 2008.
It appears that even TV game show moguls Goodson and Todman could have designed a better global financial system than the one that collapsed under its own weight in the fall of 2008.
They would have certainly known that giving people the chance to make money without possibility of consequence would have quickly gotten out of hand.
But the financiers, mortgage originators and real estate brokers in our unfortunate home game version of Break the Bank last fall had no consequential constraints. If they made a bad deal, the money lost wasn't theirs, it was ours. They could double down on every play, with nothing at risk and nothing to lose.
That's a gourmet recipe for disaster, as we all came to painfully find out.
Advice from Apocalypzia: Restrain from entrusting what is precious to you to someone who won't feel equal or greater pain if it's lost.