Pareto Principle for Poker

Posted by wynn on May 20, 2009 in Table Talk | 0 comments

Some people are players that use math and odds to guide their decisions at the poker table. The key here is a calculated decision.

Some people are gamblers that use feel and intuition to guide their actions at the poker table. The key here is emotional action.

Most people are a blend of player and gambler. Me? I am what I call an 80 / 20 player.

In other words, I am 80% player and 20% gambler.

This is the Pareto Principle in action. Let me explain.

Rounders or grinders by nature try to win one or two pots an hour and protect their chips. Roughly 80% of the pots I play are are based on calculated decisions. Using the Pareto Principle, these 80% pots account for about 20% of my winnings.

The 20% of pots I play as a gambler with 20% of my chips accounts for 80% of my winnings on a winning night. The downside is that on a losing night, the 20% gambler could result in 80% losses. That is the risk that the gambler takes at the table.