Kerala Lotteries & Financial Derivatives
I recently came across an article which explains a new ( and I should say, ingenuous ) way of operating lotteries in Kerala.. For non-Keralites, lottery industry is something thats very sensitive politically in Kerala, especially considering the impending state elections in April.. The method goes like this 1) There is a reference lottery - Bhutan/Sikkim . Suppose they sell a lottery ticket in which ticket number has 10 digits 2) The Kerala lottery operator will float a shadow lottery to this, bearing a ticket with 3 digit ticket number & lets say, two/ alphabets ( the alphabet part is just to have a unique ticket number ) 3) The winners will be identified on the basis of last 3 digits of the winning reference lottery ( Bhutan/Sikkim ) 4) Of-course, the ticket cost & prizes are vastly different for the shadow lottery ( They have factored in the law of probabilities :) ) The interesting thing about this is that it is almost equivalent ( except the winning part ) to taki...