Well, some people hypothesize that your utility can be superlinear in the positive region. Utility = (gain or loss)^3, for example.
Of course, the stats prof says he buys lottery tickets because they are fun. I do something similar - even though the expected gain from video games is precisely $0, I still play them.
Of course, the stats prof says he buys lottery tickets because they are fun. I do something similar - even though the expected gain from video games is precisely $0, I still play them.