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Culture War Roundup for the week of October 30, 2023

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The betting sites do not seem to be factoring in current polling/general vibes i get. I’d say if we had a snap election in 2 weeks Trump would win big.

I’ve been extremely confused by betting markets. Either they think something will break for the Dems to get a coin flip (which Trump is less than a coin flip) or it seems like they are pricing in wide spread fraud. But I 100% agree with you noting the betting markets I’ve checked them lately and they don’t feel like they moved nearly enough.

Mean reversion probably will happen but Trump feels like a 90-95% win probability if we held elections now.

I mean, if Trump gets removed from the ballot, he can't win, and there are actual court proceedings going on about that. I wouldn't really term that "election fraud" so much as an "unfree election", but pricing that in is sound*.

*For someone who lives in the 'States and intends to continue living in the 'States, it's necessary to discount the "no Republican on ballot" situation steeply due to the "don't bet on situations where you won't be able to spend your winnings" issue, but there'd probably be enough time after market resolution to flee and cash out into a foreign currency, and foreign bettors don't have that problem.

I don't think there is any confusion to be had. Polling is exactly about whether somebody would win in two weeks. Betting is if somebody is going to win in 2024.

I am not sure why this simple fact is somehow mysterious. There is a difference betting if some sports team wins head-to-head next Sunday or late 2024. There will be some underlying similarities, but a lot of things can change between now and then.

The betting markets aren’t perfect but they seem to indicate Biden is still favored head to head. It’s possible but feels wrong to me.

It’s like if the Steelers played the Cowboys. The Steelers went up 21-0 but espn probability calculator of victory was 54% Cowboys before the game and still 54% Cowboys after the Steelers went up 21-0. You can make a story why it’s correct but from a Bayesian calculation it feels like the score changing is important news.

Mean reversion probably will happen but Trump feels like a 90-95% win probability if we held elections now.

Seems like you answered your own question? But the betting sites aren't betting on who would win if the election was today and the correlation between polls and election results decreases the farther out the election is.

(Also it always bears pointing out that PredictIt charges 10% of your profits which seriously hampers the accuracy of its predictions).

or it seems like they are pricing in wide spread fraud.

It doesn't need to be fraud for there to be a significant disjunct between the population being polled and the population whose votes actually get tabulated. Particularly with the relaxation of rules around drop-off ballots, early voting, and ballot harvesting in many states, activists have much more leeway to shape the electorate by activating particular groups of low-propensity voters than they did prior to the 2020 cycle.

I think that the prediction markets might be pricing in things like 3rd parties, which a Trump vs Biden poll doesn't account for.