Regression toward the mean
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In statistics, regression toward the mean is the phenomenon where if one sample of a random variable is extreme, the next sampling of the same random variable is likely to be closer to its mean. Furth
Francis Galton's 1886 illustration of the correlation between the heights of adults and their parents. The observation that adult children's heights tended to deviate less from the mean height than their parents suggested the concept of "regression toward the mean", giving regression analysis its name.
Gambler's fallacy
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The gambler's fallacy, also known as the Monte Carlo fallacy or the fallacy of the maturity of chances, is the belief that an independent and equally probable outcome which happened less frequently th
Regression toward the mean
…event is likely to be less extreme. In no sense does the future event "compensate for" or "even out" the previous event, though this is assumed in the gambler's fallacy (and the variant law of averages). Similarly, the law of large numbers states that in the long term, the average will tend toward the expected value…
The effect of gambler's fallacy on lottery selections, based on studies by Dek Terrell. After winning numbers are drawn, lottery players respond by reducing the number of times they select those numbers in following draws. This effect slowly corrects over time, as players become less affected by the fallacy.