Latest / Predictable with Stu Burguiere / The GOP’s LAST CHANCE For Midterms Redemption
Transcript
- 0:00Is all hope lost for Republicans?
- 0:03Well,
- 0:03maybe not.
- 0:04I have one last factor in the midterms to talk about today,
- 0:06and I think that could
- 0:08be some positive rays of light for Republicans.
- 0:10We'll get into that.
- 0:11We'll look also at the wild presidential election results out
- 0:13of Brazil and see if they have anything to do
- 0:16and say about the overall accuracy
- 0:18of prediction markets,
- 0:19and today's candidate countdown is going to encompass an entire group.
- 0:24Mostly of psychopaths,
- 0:25we'll get into that
- 0:25as well.
- 0:26More and so much more,
- 0:28honestly,
- 0:29uh,
- 0:29coming up on this episode of Predictable with Sue.
- 0:31Thanks for hanging out with us and join us at predictableshow.com.
- 0:49Welcome to Predictable with Stu.
- 0:51I don't know if my eyes are just getting worse
- 0:53at this point,
- 0:54or,
- 0:55uh,
- 0:55it's just that I've been staring constantly at screens,
- 0:58uh,
- 0:58for months now,
- 0:59getting ready for this election,
- 1:00which is only,
- 1:01uh,
- 1:018 days away.
- 1:02Um,
- 1:02I want you to join us on YouTube.
- 1:04I was looking at some numbers today,
- 1:05something like 70% of the people who watch the show
- 1:08are not subscribers to the channel.
- 1:10Um,
- 1:10so I would love for you to become a subscriber of the channel.
- 1:13It would mean a lot to us and help us grow.
- 1:15And help us have,
- 1:16you know,
- 1:16quality
- 1:17prediction market
- 1:18content because
- 1:20honestly,
- 1:20there's some stuff out there that's good,
- 1:21some stuff that's not so good,
- 1:23uh,
- 1:23but this is a growing,
- 1:24uh,
- 1:24space right now and,
- 1:26uh,
- 1:27it would be great if you could help us
- 1:28make this into a,
- 1:29uh,
- 1:29an even bigger operation with even more research and
- 1:31all the other things that we wanna do.
- 1:33Uh,
- 1:33so help us out,
- 1:34go to youtube.com/atpredictableshow,
- 1:36follow the channel,
- 1:37click the bell for notifications,
- 1:39do all the things that please the algorithm robots.
- 1:42Because if you don't,
- 1:43you know what robots do in every movie.
- 1:45They eventually turn on you and kill you.
- 1:47So if you want to be murdered by a robot,
- 1:49that's fine,
- 1:51or go to YouTube.com/atpredictableshow,
- 1:53just a recommendation.
- 1:548 days until the midterm elections.
- 1:57We are here,
- 1:58um,
- 1:58we have,
- 1:59I,
- 1:59I wanted you to know,
- 2:00um,
- 2:00we're gonna be doing a live stream
- 2:02on election night
- 2:03that is going to encompass the
- 2:05entire night from like the beginning when polls are just starting to close
- 2:09all the way through
- 2:10till
- 2:12I would say every seat is called,
- 2:13but that's not true because Alaska probably won't be called
- 2:16for a long time and California will be counting,
- 2:18you know,
- 2:18ballots in 2035.
- 2:20So it won't be every,
- 2:21every seat,
- 2:21but
- 2:22as many as we can and hopefully at least
- 2:24to figure out whether there's gonna be control of the House and the Senate,
- 2:27any big races,
- 2:28any opportunities that we can come up with on prediction markets
- 2:31as well.
- 2:31That's what we'll be looking for and we will be on
- 2:33November 3rd for hours and hours and hours and hours.
- 2:35Hopefully my stupid voice holds up.
- 2:37Cause sometimes it doesn't like that.
- 2:39Uh,
- 2:39but you know what?
- 2:40Drugs.
- 2:42OK?
- 2:43If it gets difficult for me,
- 2:44I will just do illicit drugs,
- 2:46and then the show will get much more exciting.
- 2:48We have early voting going on in 43 states right now.
- 2:5243 states.
- 2:53And here's the,
- 2:53this is the,
- 2:54the,
- 2:54you know,
- 2:54we give you the schedule update all the time.
- 2:56Who's left?
- 2:57Washington DC October 26th,
- 2:59Oklahoma,
- 2:59October 28th,
- 3:00Kentucky,
- 3:01October 29th,
- 3:02and that's the whole list.
- 3:04Yeah,
- 3:04that's it.
- 3:05We're up to what,
- 3:06I mean,
- 3:07Washington,
- 3:07DC,
- 3:07so 45 states.
- 3:08There's a few states that don't have early voting.
- 3:11Interesting.
- 3:12I remember,
- 3:12uh,
- 3:13when we were having this Georgia controversy when,
- 3:15uh,
- 3:15when everyone was saying
- 3:16that Georgia's laws were going to ruin democracy and
- 3:20then they had more people voting than ever before.
- 3:22And when that whole controversy was going on,
- 3:23we all realized that,
- 3:24hey,
- 3:24there's a bunch of left-wing states that don't have early voting at all.
- 3:27They don't seem to have any problem with it whatsoever.
- 3:29Uh,
- 3:29very strange,
- 3:30uh,
- 3:30arguments being made on both sides.
- 3:32But I wanna kind of look at where we are,
- 3:34as we're 8 days away from the election.
- 3:36What does control look like?
- 3:38What do these races look like?
- 3:40Can you believe the media?
- 3:41Can you believe the polls?
- 3:44There's a couple of different factors here.
- 3:47I
- 3:48wanna be honest with you,
- 3:49and I,
- 3:50I've been honest with you this entire time.
- 3:52I get bored with the whole walking your party line thing that a lot of people wanna do.
- 3:58You know,
- 3:58a lot of people wanna root for something and tell you it's gonna come true,
- 4:01and,
- 4:02and frankly,
- 4:03I don't like doing that.
- 4:04It doesn't,
- 4:04it's not interesting to me.
- 4:06Um,
- 4:07you know,
- 4:07I like to get hope sometimes.
- 4:08I like to look for the rays of sunshine.
- 4:10There's nothing wrong with that.
- 4:11Uh,
- 4:11if you happen to be a Republican or conservative,
- 4:13it's been kind of cloudy weather,
- 4:15right?
- 4:15Like things have not looked so good in the polls.
- 4:18And
- 4:19you can say you don't believe the polls,
- 4:20you can say you don't believe prediction markets,
- 4:22you can say you don't believe the news.
- 4:23All that's totally uh up to you.
- 4:26One thing that is believable though,
- 4:28is where Republicans are putting their money.
- 4:30And right now,
- 4:31Republicans are putting their money in states like Mississippi.
- 4:36South Carolina,
- 4:37Nebraska,
- 4:38Kansas,
- 4:39Texas.
- 4:41These states are getting flooded with money from Republican groups,
- 4:45uh,
- 4:46super PACs,
- 4:47campaigns,
- 4:48all that stuff.
- 4:49It's all going to that type of state.
- 4:51They've given up on states like
- 4:52North Carolina and Georgia,
- 4:53for example.
- 4:54Uh,
- 4:55there's really no money going into those races at this point.
- 4:59So the question is,
- 5:00because that's what the Republicans are seeing now.
- 5:02Republicans
- 5:03have been known at times for their incompetence.
- 5:05So it's possible there's wrong,
- 5:07right?
- 5:07Maybe they're overstating the doom level here
- 5:09and they're just playing defense and saying,
- 5:11look,
- 5:11let's just not lose all these states,
- 5:13we'll see what happens.
- 5:14That's possible,
- 5:15and they could just be wrong.
- 5:17Um,
- 5:17and I think there are some
- 5:20reasons to believe that things have improved recently
- 5:23for Republicans.
- 5:24I wanna go through some of that data with you.
- 5:26This,
- 5:26uh,
- 5:26I'll give you,
- 5:27we'll start here with YouGov.
- 5:28YouGov is a pollster,
- 5:29been around for a long time.
- 5:30We featured them before,
- 5:31and I wanna make sure you understand that we featured them about a month ago.
- 5:34The reason I want to tell you about that is because we featured them in the light of
- 5:38really negative results for conservatives and Republicans.
- 5:42Um,
- 5:43in fact,
- 5:43they,
- 5:44when they turned on their likely voter screen,
- 5:46it was so negative for,
- 5:49uh,
- 5:49Republicans,
- 5:50it seemed almost unbelievable.
- 5:51Like it would be worse than any election
- 5:53that has happened,
- 5:54uh,
- 5:55in a very,
- 5:55you know,
- 5:56in a very,
- 5:56very long time for either party.
- 5:59Here's their headline today.
- 5:59Are Republicans catching up
- 6:01in the race
- 6:02for Congress?
- 6:03There is some
- 6:04evidence for this.
- 6:05We are seeing
- 6:06some bounce back in states like Texas,
- 6:09in states like Iowa,
- 6:10in states,
- 6:11uh,
- 6:12strength in states like Florida continuing.
- 6:15Uh,
- 6:15there are some bright spots for,
- 6:17uh,
- 6:18the red parts of the map.
- 6:20I wanna go through some of this data to show you
- 6:23some indications of this.
- 6:25And
- 6:25there are indications
- 6:27of it if you,
- 6:28you,
- 6:28you gotta squint maybe a little bit sometimes,
- 6:30and it doesn't mean that we're going from
- 6:32bad news or horrible news to good news.
- 6:34That's not what this data is showing.
- 6:36What it's showing is
- 6:37horrible news to less bad news.
- 6:40At this point,
- 6:41you're either going to have a very bad year
- 6:43for Republicans or a very bad year for polls.
- 6:45Those are the two options.
- 6:47You can't really have
- 6:49Good poll a good polling year,
- 6:51um,
- 6:52and,
- 6:52and say,
- 6:53OK,
- 6:54Republicans did well.
- 6:55At this point,
- 6:56polling is pretty much saying
- 6:58really bad things
- 6:59for
- 7:00Republicans.
- 7:01And,
- 7:01you know,
- 7:02prediction markets are echoing much of that sentiment.
- 7:04However,
- 7:06We have some evidence that that is reversing at least to some level,
- 7:09and I wanna show you this.
- 7:10This is an important concept to understand.
- 7:13As you are leading up to an election,
- 7:16most pollsters
- 7:17will ask very broad categories of people,
- 7:21sometimes even adults.
- 7:22I never like a poll about adults.
- 7:24Adults,
- 7:25uh,
- 7:25and you might say,
- 7:26well,
- 7:26what do you want a poll of kids?
- 7:27No.
- 7:27What I want is a poll of registered voters at least.
- 7:30Adults means anybody,
- 7:32they're not even registered to vote.
- 7:33And so at that point they're very unreliable as to
- 7:36whether they would go to the polls or not.
- 7:37As we all know,
- 7:38a lot of people don't.
- 7:39Um,
- 7:40so registered voters is that first,
- 7:42that,
- 7:42you know,
- 7:42you have adults and then you have the first kind of,
- 7:44uh,
- 7:46hurdle to clear is,
- 7:47are you registered to vote?
- 7:49If you are,
- 7:50you're put into a lot of these polls.
- 7:51If you're not,
- 7:51a lot of times you're just kind of tossed to the side.
- 7:54Now,
- 7:55it goes farther than that,
- 7:56as you get closer to the election.
- 7:57They start putting on likely voter screens.
- 8:00Likely,
- 8:00I've talked about this before,
- 8:01but if you missed those shows,
- 8:02likely voter screens are basically
- 8:04questions to get a little bit more invasive
- 8:06to try to understand whether you're actually gonna vote or not.
- 8:09Sometimes it's as simple as,
- 8:10are you sure you're gonna vote?
- 8:11And if you say,
- 8:12if you say,
- 8:12well,
- 8:12well,
- 8:13probably,
- 8:14you might not clear that likely voter
- 8:16category.
- 8:17If you say,
- 8:17uh,
- 8:18if they ask you,
- 8:18hey,
- 8:18have you voted in the last 5 elections?
- 8:20How many of the last 5?
- 8:21And you say,
- 8:22oh,
- 8:22all 5,
- 8:23I always vote.
- 8:24You're much more likely to vote in this upcoming one.
- 8:26If you said,
- 8:26well,
- 8:26I've never voted before and I'm 42 years old,
- 8:29and,
- 8:30uh,
- 8:30and I'm gonna,
- 8:30but I'm gonna turn out this time,
- 8:32you're treated as a less likely voter.
- 8:34All that makes kind of intuitive sense.
- 8:36Um,
- 8:37YouGov does this in an interesting way.
- 8:39They have multiple different screens for this.
- 8:41They have registered voters,
- 8:43they have a likely voter screen,
- 8:44and then they have a very strict
- 8:46likely voter screen,
- 8:47which is like only people they're pretty much are sure are going to vote.
- 8:50This is what their pollings look like over the past month and a half or so.
- 8:54Um,
- 8:54and what you see here,
- 8:56starting in the beginning of September
- 8:58till today,
- 8:59is
- 9:00a,
- 9:00a rise in the Democratic lead.
- 9:03The strictest screen when we featured this,
- 9:05I think this was the moment we featured this poll.
- 9:08We're talking about the best case scenario for Democrats at that time
- 9:11was,
- 9:12uh,
- 9:12on September 20th,
- 9:14that was a + 14 in the generic ballot.
- 9:17Again,
- 9:17for those,
- 9:17uh,
- 9:17people who have lives,
- 9:18a generic ballot
- 9:20is basically,
- 9:20hey,
- 9:21you're gonna vote for your local Democrat or Republican,
- 9:23and you can take,
- 9:24you can kind of get a sense of the climate of a given election.
- 9:27When you measure generic ballot,
- 9:29generic ballot is seen as one of the best,
- 9:31um,
- 9:32predictors of what's going to come up in the election,
- 9:35and you see
- 9:36that's a very strict screen.
- 9:37Only the most likely voters get there,
- 9:39a + 14.
- 9:40At the same time that that was going on,
- 9:42uh,
- 9:43Democrats were a 10
- 9:45when it comes to the what they call a loose screen.
- 9:47This is the normal likely voter screen,
- 9:49and then the registered voters,
- 9:51they were a plus,
- 9:52let's say 7.
- 9:53So,
- 9:54if you're,
- 9:54you know,
- 9:55the,
- 9:55the less likely you are to vote,
- 9:57the more Republican you were
- 9:58in all of these,
- 9:59uh,
- 10:00uh,
- 10:00screens because
- 10:02Republicans are not as passionate this time around.
- 10:04Uh,
- 10:05Democrats are much more,
- 10:06uh,
- 10:07showing much more energy in this election,
- 10:09and that is echoed in almost every single poll I've seen.
- 10:12But as you see,
- 10:13as we go from September 20th on,
- 10:15we see a a considerable decrease in all of these categories.
- 10:20Uh,
- 10:20if you're listening on podcast,
- 10:21I'll give you the sense of this.
- 10:23On September 20th,
- 10:24the strictest screen was a + 14 for Democrats.
- 10:27It then dropped to a +13,
- 10:28a +12,
- 10:29a +11,
- 10:30and now down to a +9.
- 10:32So it's gone from 14 to 9.
- 10:34It's a 5 point swing.
- 10:36And as far as a loose screen,
- 10:38this is the register normal likely voter screen.
- 10:40It has gone from a 10 for Democrats to a +7,
- 10:43so a 3-point swing.
- 10:44And for,
- 10:45uh,
- 10:45in the just registered voters,
- 10:47you've seen a drop from about 0.
- 10:49+7 for Democrats to +,
- 10:52uh,
- 10:53say 52 points.
- 10:55So.
- 10:55Less drop among uh registered voters than likely voters.
- 10:59Um,
- 10:59but the point here
- 11:01is that
- 11:01people who,
- 11:02what you're seeing here is a process we
- 11:05predicted
- 11:06on this program,
- 11:07which is,
- 11:07as you get closer to a race,
- 11:09as you come out of Labor Day,
- 11:11as you get out of the summer stuff,
- 11:13your kids go back to school,
- 11:15you start focusing on the election again,
- 11:17you start seeing $100 million of ads.
- 11:21All of a sudden,
- 11:22you go from,
- 11:22I don't really care about this election to,
- 11:24you know what,
- 11:24I actually kinda do care about this election.
- 11:26And now I am gonna make sure I get out and vote.
- 11:28You may have said in September,
- 11:30uh,
- 11:31I'm not that passionate.
- 11:32Now you are passionate,
- 11:33right?
- 11:34That's why they run these ads,
- 11:35to get you out of the house.
- 11:37So
- 11:38that is what's happening with this data.
- 11:40We see a,
- 11:41a,
- 11:41a similar thing happening in
- 11:43the propensity of people who are very likely,
- 11:45uh,
- 11:45that they will definitely vote.
- 11:47Again,
- 11:47YouGov data here.
- 11:48If you look at September 20th,
- 11:50you see a situation where 80,
- 11:53let's see,
- 11:5385%
- 11:55of Democrats said they were sure to vote
- 11:57that has risen to 87%.
- 11:59It almost gets higher.
- 12:01Republicans have seen a much more dramatic,
- 12:03uh,
- 12:03gain there.
- 12:04They were at 70% and have risen all the way to 80%.
- 12:07So they have closed the gap from about 15 points
- 12:11to 7
- 12:12in that time period of about a month.
- 12:15That is very good news for,
- 12:17uh,
- 12:18Republicans and Republican candidates if this holds true.
- 12:22Independents have been up a little bit,
- 12:24but mostly flat,
- 12:25and you'd see them bounce around a little bit more than the parties,
- 12:28but what you saw was a real depression around September 20th
- 12:31and a rise
- 12:33to,
- 12:33uh,
- 12:33to 80% now for.
- 12:35Republicans,
- 12:35you'd expect that to rise.
- 12:37This is October 18th data,
- 12:39uh,
- 12:39so it's a week old,
- 12:40but you'd expect that to rise each week
- 12:42and probably that gap close a little bit more as we get closer and closer and closer.
- 12:46Now I put that in perspective,
- 12:48again,
- 12:48I,
- 12:49and I wanna make sure I,
- 12:50I don't want to come off as like some,
- 12:51you know,
- 12:52uh,
- 12:52hey,
- 12:52I'm trying to mislead you because I want one side to win.
- 12:55It's important for me,
- 12:56for you to win on prediction markets.
- 12:57It's important for me to,
- 12:58you know,
- 12:59for,
- 12:59for my candidates to win.
- 13:00I,
- 13:00I want that to happen.
- 13:02But what I want to use this form for is to tell you the truth.
- 13:05Um,
- 13:05and what the truth here
- 13:07is,
- 13:07uh,
- 13:08is that while
- 13:09there is a narrowing,
- 13:11the narrowing doesn't mean
- 13:13you're gonna see massive gains for Republicans in the House and Senate.
- 13:17I don't think that's going to.
- 13:18Happen at all.
- 13:19This is a predict this is a,
- 13:20uh,
- 13:20a kind of
- 13:21putting this in context sort of moment here.
- 13:24Um,
- 13:24this is likely voters,
- 13:25uh,
- 13:25which are now at +9 for Democrats.
- 13:28This is compared to,
- 13:29to 2018.
- 13:30Why 2018?
- 13:312018 is a really crap,
- 13:32crappy year for Republicans,
- 13:34and the fact is the line for this year,
- 13:37it has been worse the entire time
- 13:40than 2018,
- 13:42according to YouGov data.
- 13:43Now YouGov is one pollster.
- 13:45We,
- 13:45we'll give you every bit of a disclaimer,
- 13:47but you know the disclaimers,
- 13:48I don't wanna bore you with them
- 13:49all,
- 13:50but we've
- 13:50said them a million times.
- 13:52The bottom line here
- 13:53is that even at,
- 13:54even with this improvement that you can see on this chart,
- 13:57um,
- 13:58which echoes an improvement from 2018,
- 14:00it's still worse.
- 14:02That it was
- 14:03in 2018 at least so far.
- 14:05We will see if that continues as we go forward.
- 14:07Let's make a note to check in on that YouGov uh data as it improves,
- 14:10Adam,
- 14:11because,
- 14:11uh,
- 14:12just to kind of keep our,
- 14:12our heads here,
- 14:13I wanna make sure we understand things
- 14:15now.
- 14:16Another part of this
- 14:17are undecided voters,
- 14:18and there still are a lot of undecided voters out there.
- 14:21You might say,
- 14:21well,
- 14:22I had my mind made up in,
- 14:23you know,
- 14:231984.
- 14:24Uh,
- 14:25but
- 14:26right now,
- 14:26people are really making their minds up,
- 14:28and it's a small percentage of the population,
- 14:29but it's an important one.
- 14:31Matthew Iglesias wrote this,
- 14:32and I thought this was an interesting way of,
- 14:34of looking at this.
- 14:35Um,
- 14:35again,
- 14:36he's on the left,
- 14:36he's probably thinking this is a very bad outcome,
- 14:39uh,
- 14:39but I think it's an interesting way to look at this,
- 14:42and,
- 14:42and most of this is
- 14:44At least partially true.
- 14:45Polling,
- 14:45uh,
- 14:46for example,
- 14:46this is Kansas Senate.
- 14:48Polling has Hamilton up by 1 point
- 14:50in a context where there are 10% who are still undecided,
- 14:53and almost all of them
- 14:54are going to be Trump,
- 14:55Trump,
- 14:55Trump voters,
- 14:56meaning they voted for Trump in 2016,
- 14:572020,
- 14:58and 2024.
- 14:59So you have this group of undecided voters that
- 15:01are gonna go one way or the other likely.
- 15:04Most of those people are,
- 15:05have been Trump supporters this entire time.
- 15:07Should we,
- 15:08shouldn't we expect this to be a GOP?
- 15:10When?
- 15:11Conceptually speaking,
- 15:12is it a polling error if these late deciders break for Hamilton?
- 15:16There's a good case to be made here.
- 15:17If you voted for Trump
- 15:19in 2016,
- 15:20you voted for Trump in 2020,
- 15:22you voted for Trump in 2024,
- 15:24are you so upset
- 15:26with your previous vote from
- 15:28not that long ago,
- 15:28two years ago.
- 15:30That you think things have gone so terribly
- 15:32that you're now looking for a left-wing candidate,
- 15:35an Adam Hamilton,
- 15:35a James Tallarico,
- 15:37uh,
- 15:38you know,
- 15:38uh,
- 15:39Scott Colom
- 15:40in Mississippi.
- 15:42One of these,
- 15:42are you really gonna go that far?
- 15:46It doesn't feel intuitive that that would be true.
- 15:49Meaning that if,
- 15:50if they can,
- 15:51if conservatives can win a majority of those undecided votes,
- 15:54they're gonna win a lot of these toss-up races in the Senate.
- 15:58Um,
- 15:59we have some more information on this.
- 16:00This is from Strength in Numbers,
- 16:01which,
- 16:02uh,
- 16:02they,
- 16:02they asked the question,
- 16:03who's already voted in 2026 midterms,
- 16:05who's undecided,
- 16:06and how might they vote?
- 16:07Now,
- 16:07Strength in numbers is,
- 16:08you know,
- 16:08a good pollster.
- 16:09They,
- 16:09they are a legitimate
- 16:11outfit.
- 16:11They do tend to lean,
- 16:13uh,
- 16:13I would say their data tends to lean a little bit more left,
- 16:16um,
- 16:16but
- 16:17to give you a percent,
- 16:17uh,
- 16:18a kind of a perception as to who is undecided,
- 16:20they did some polling on that data or have some,
- 16:22uh,
- 16:22breakdowns of that data.
- 16:23Um,
- 16:24first of all,
- 16:25the people who are undecided are not big Trump fans right now.
- 16:28They have,
- 16:29uh,
- 16:29decided that Trump is not doing a good job.
- 16:31What they say here,
- 16:32this is the,
- 16:32uh,
- 16:32group,
- 16:33they're massively,
- 16:34uh,
- 16:35uh,
- 16:35uh,
- 16:35disapproving of Donald Trump,
- 16:3669 to 14 is that number.
- 16:3949% strongly disapprove,
- 16:4120% somewhat disapproves,
- 16:43only 12%,
- 16:44uh,
- 16:45somewhat approve,
- 16:45and 2%
- 16:46strongly disapprove.
- 16:47That now that makes some sense intuitively because.
- 16:49You,
- 16:50you would think the people who really like Trump and approve of them
- 16:53probably aren't undecided,
- 16:55right?
- 16:55Those people are already,
- 16:56have already picked a candidate.
- 16:57These people are undecided,
- 16:58probably previously voted for Trump at least once,
- 17:01and now we're saying,
- 17:02wait a minute,
- 17:02I'm not as happy as I,
- 17:03as I was.
- 17:04However,
- 17:05the people,
- 17:05as you see here,
- 17:07Uh,
- 17:072 to 1 ratio,
- 17:09Trump versus Harris,
- 17:10voted for Trump.
- 17:11So these are mostly people,
- 17:12mostly,
- 17:13not all,
- 17:14uh,
- 17:14but the,
- 17:15the,
- 17:15the plurality of people here,
- 17:17um,
- 17:18uh,
- 17:18that are assigned to a candidate
- 17:20are people who are,
- 17:21who voted for Donald Trump.
- 17:23So they have at least familiarity of voting Republican before,
- 17:26lean Republican at one point in their lives,
- 17:28uh,
- 17:28at least leaning towards MAGA or Trump.
- 17:31They,
- 17:3128% of those people,
- 17:3215% voted for Harris,
- 17:34uh,
- 17:34third party candidates was 18% and then didn't vote at all,
- 17:3738%.
- 17:38Again,
- 17:38will those people come in?
- 17:40If they do,
- 17:40they will likely go toward the Democrat,
- 17:43but
- 17:44people who didn't vote in 2024,
- 17:46a presidential year,
- 17:47are really unlikely to actually get to the polls.
- 17:51If you didn't bother to vote in 2024,
- 17:53in a highly contested presidential election
- 17:56that included Donald Trump,
- 17:57one of them,
- 17:57you know.
- 17:58Whether you like him or not,
- 17:59either you love him or you hate him,
- 18:00usually,
- 18:00very polarizing guy.
- 18:03You could see why people would be skeptical that those people would
- 18:06actually show up to vote for Adam Hamilton or Roger Marshall,
- 18:10right?
- 18:10Like it's just
- 18:11the passion levels are usually lower on this,
- 18:13in those situations.
- 18:14Um,
- 18:15now,
- 18:15I am
- 18:16a person,
- 18:17to be honest with you,
- 18:19and there are a lot of,
- 18:20uh,
- 18:21of
- 18:22early voting tea leaf readers who will tell you different,
- 18:25uh,
- 18:26things than this.
- 18:27I am a person who does not take all that much
- 18:30from early vote.
- 18:32There are some pretty smart arguments to be made
- 18:34that if you look at lower propensity voters,
- 18:37again,
- 18:37voters who don't typically vote,
- 18:38if you can lock those people in and isolate them,
- 18:41you can get something out of those guys.
- 18:42But again,
- 18:43you're talking about a tiny fraction of the audience,
- 18:45and
- 18:45I think a lot of times
- 18:46you get,
- 18:47uh,
- 18:47uh,
- 18:48an overestimation of that.
- 18:49I find that
- 18:50early voting data tends to mislead more than it leads correctly.
- 18:54Um,
- 18:55so that is my opinion on that.
- 18:56I wanna show you some of that data anyway,
- 18:58in case you happen to be,
- 18:59uh,
- 19:00in case you happen to disagree.
- 19:01This is again from,
- 19:03uh,
- 19:04Strength in numbers.
- 19:05Um,
- 19:06What we normally see
- 19:08in early dating,
- 19:09uh,
- 19:09early voting data is that Democrats get out early.
- 19:11We all kind of know that,
- 19:12right?
- 19:13Democrats vote early
- 19:15more often
- 19:16than Republicans do,
- 19:17and we see that in every single election with one,
- 19:19actually kind of interesting exception
- 19:21of 2024.
- 19:23But,
- 19:23uh,
- 19:23looking at the previous elections,
- 19:24you see,
- 19:25uh,
- 19:25uh,
- 19:25anywhere from,
- 19:26uh,
- 19:268
- 19:27to 10 point
- 19:30move,
- 19:30maybe 5 to 10 point move
- 19:32from,
- 19:33uh,
- 19:34when,
- 19:34you know,
- 19:34in early ballots,
- 19:35more Democratic.
- 19:36Um,
- 19:37day of the final electorate being much more Republican.
- 19:40So you see a big move
- 19:42from,
- 19:42uh,
- 19:43the early voting being more Democratic,
- 19:45the day of voting being much more Republican,
- 19:47the average of that,
- 19:48the final electorate being these,
- 19:49uh,
- 19:50dots that are not colored in.
- 19:52In 2022,
- 19:52it was a very slight lean toward Republicans.
- 19:542024,
- 19:55a little bit more toward Republicans
- 19:57with the final vote,
- 19:58but
- 19:59that,
- 19:59uh,
- 20:00election data,
- 20:01uh,
- 20:01looking back to 2018
- 20:03shows that usually Democrats get out early,
- 20:06um,
- 20:06and this is broken down in multiple different ways.
- 20:08Voted in both previous generals.
- 20:10They go on to,
- 20:11if you haven't voted at all or you haven't,
- 20:13uh,
- 20:13you know,
- 20:13go to the next slide if you would.
- 20:15Um,
- 20:15these are voted in one out of two previous general elections and two out of two.
- 20:19What you see generally speaking though,
- 20:21is the same story
- 20:23in almost every case,
- 20:24with the exception of 2024,
- 20:26which is interesting.
- 20:27In 2024,
- 20:28there really wasn't that sort of change.
- 20:30So,
- 20:31is that a situation,
- 20:32and this could be,
- 20:32this is a plausible theory.
- 20:35Donald Trump,
- 20:36uh,
- 20:36in 2016,
- 20:37but really more in 2020,
- 20:39encouraged Republican voters
- 20:41to not vote early,
- 20:43to not vote by mail.
- 20:45It's corrupt,
- 20:45it's a corrupt system.
- 20:46It's,
- 20:46you know,
- 20:47the only state,
- 20:47honestly,
- 20:48you go back to 2020 where he encouraged it was Florida,
- 20:50and it was basically his best performing state of the election.
- 20:54Uh,
- 20:54I don't think that's a coincidence.
- 20:55Um,
- 20:56they just,
- 20:56they saw that same data,
- 20:58and in 2024 they stopped saying don't vote early,
- 21:00don't vote in,
- 21:01in,
- 21:01in the elections,
- 21:02and
- 21:02like you might say like there's fraud in those elections or whatever,
- 21:05uh,
- 21:05when it comes to early voting and mail-in voting.
- 21:07The,
- 21:07the,
- 21:08the thing about it,
- 21:08it's really valuable to campaigns.
- 21:11Campaigns love when you vote early because
- 21:13when you vote early,
- 21:15they can check you off the list and stop using resources to try to get you out to vote.
- 21:20So they love it.
- 21:21When you vote early,
- 21:22if you vote early,
- 21:22you'll stop getting text messages constantly,
- 21:24uh,
- 21:25in a lot of cases because
- 21:26you get checked off the list.
- 21:27They see that you voted and then you're,
- 21:29they don't need to spend any money on you anymore.
- 21:31They love that.
- 21:32So now Republicans have been considering,
- 21:34uh,
- 21:34they've changed that,
- 21:35uh,
- 21:35outlook and said,
- 21:36look,
- 21:36just go and vote early.
- 21:372024 was the first time they tried that,
- 21:39and you see that data,
- 21:39not,
- 21:40not as much leaning,
- 21:41uh,
- 21:42in the Republican way for day of voting.
- 21:44So that's gonna be interesting to see.
- 21:46When it comes to prediction markets,
- 21:48this is all really interesting information.
- 21:50I
- 21:51think a lot of the movement lately,
- 21:52I dove into this,
- 21:53uh,
- 21:54deeply,
- 21:54maybe we'll get into this on another show as well.
- 21:56Um,
- 21:57what's moving the markets right now,
- 21:58it does seem to be early voting,
- 22:00uh,
- 22:00voting data,
- 22:01even more than polling.
- 22:02Um,
- 22:03Texas is a good example of this.
- 22:04In Texas,
- 22:06the polling for Greg Abbott has been pretty good,
- 22:08better than previously in the cycle,
- 22:10and his actual percentages have dropped.
- 22:12Why?
- 22:13Early voting data in Texas looks pretty bad
- 22:15for Republicans.
- 22:16What do I take out of that?
- 22:18Not much.
- 22:19I don't take much out of it,
- 22:20and I could be wrong on this.
- 22:21We might find that this is the time where early voting data has been predictive.
- 22:24What I've seen about early voting data is it,
- 22:26it tends to mislead you more
- 22:28than it leads you in the right direction,
- 22:29and over and over again,
- 22:30we've,
- 22:31we've been told
- 22:32by early voting data,
- 22:33uh,
- 22:34soothsayers what's gonna happen in an election,
- 22:36and then it doesn't wind up happening.
- 22:38So I don't really pay much attention to it.
- 22:40Uh,
- 22:40if you have somebody who you really love,
- 22:41you know,
- 22:42go ahead,
- 22:42uh,
- 22:42you know,
- 22:43free,
- 22:44feel free to share it on the predictable show.com chats because I'll look
- 22:47at the data all day long and some of it is convincing,
- 22:50but generally speaking,
- 22:50I don't think much about it.
- 22:51I was talking,
- 22:52uh,
- 22:53what's interesting about this is you can use
- 22:54prediction markets to do
- 22:56different things
- 22:57in these moments.
- 22:58Yes,
- 22:58you can do,
- 22:58do them for pure profit,
- 23:00uh,
- 23:00potential,
- 23:01and it also helps deliver a better result,
- 23:03uh,
- 23:04to the American people when it comes to their information diet.
- 23:06I think that's a positive.
- 23:07However,
- 23:08you can also kind of hedge your life.
- 23:10I've talked about hedging your life a lot.
- 23:11I do it all the time,
- 23:12um,
- 23:13uh,
- 23:13because I believe if I'm gonna have something that makes my life worse,
- 23:16I should get paid for it.
- 23:18Um,
- 23:18you know,
- 23:19I had to work with,
- 23:20uh,
- 23:20with Jeffy for many,
- 23:21many years,
- 23:22and I had to be paid for that.
- 23:24Uh,
- 23:24so you get the sense of,
- 23:26of
- 23:27when you want,
- 23:28uh,
- 23:28it's one of the central things that I think about,
- 23:30and it goes,
- 23:31I was talking to Dave Landau,
- 23:32who I do a show with,
- 23:32uh,
- 23:33Stu and Dave do America,
- 23:34um,
- 23:35it's on Blaze TV.
- 23:36If you haven't seen it,
- 23:36I think you'll like it.
- 23:37It's funny.
- 23:38He's funny.
- 23:38Um,
- 23:39and so we're doing a,
- 23:40a,
- 23:40a show about the,
- 23:42uh,
- 23:42elections,
- 23:43and,
- 23:43uh,
- 23:43we kind of go to the break,
- 23:44and he says,
- 23:45yeah,
- 23:45I've,
- 23:45I've got some money on,
- 23:46uh,
- 23:47Calci.
- 23:48On El Sayed to win.
- 23:49He lives in Michigan.
- 23:50He's saying,
- 23:50I,
- 23:50I just,
- 23:51I don't want El Sayed to be my senator.
- 23:52I'm,
- 23:53I'm basically trying to,
- 23:54uh,
- 23:54this way I'll win either way.
- 23:55I'm like,
- 23:56you're hedging your life.
- 23:57This is what this is.
- 23:58And
- 24:00Because
- 24:01a representative of your state,
- 24:02particularly governor,
- 24:03can make your life considerably worse if they win,
- 24:05if,
- 24:05if,
- 24:06if you don't like their policies.
- 24:08I mean,
- 24:08you can really do this,
- 24:09uh,
- 24:10down the,
- 24:10the,
- 24:10down the line.
- 24:11You should get paid if you,
- 24:14uh,
- 24:14if you,
- 24:14if a candidate that you think is gonna make your life worse,
- 24:16is going to get elected,
- 24:17and they're gonna make your life worse,
- 24:18you should get paid for that.
- 24:19You should get compensated for it.
- 24:21And you can actually look at this and try to calculate
- 24:23exactly what's going on.
- 24:24When,
- 24:24when,
- 24:24in 2028 is a good example of this.
- 24:26If a left-wing candidate were to win in 2028,
- 24:29it's likely your taxes would go up and that would cost you actual money.
- 24:32You can hedge that risk
- 24:34on prediction markets.
- 24:35And that is something that I've done in the past.
- 24:37It doesn't mean you can get all of,
- 24:39you know,
- 24:39tax,
- 24:40tax burdens can be very large,
- 24:41but you can get paid some of that money back,
- 24:43hedge it a little bit,
- 24:44uh,
- 24:44if you understand how to do that.
- 24:46And as we get closer to 2028,
- 24:47we'll,
- 24:47we'll talk about that a little bit more.
- 24:49Um,
- 24:49you can also hedge your life by just going into the Senate Fantasy League,
- 24:53uh,
- 24:53website,
- 24:53SenateFantassy.com,
- 24:55and put a team in there.
- 24:56It is free.
- 24:58Uh,
- 24:58when you do that,
- 24:59you go in there and you can pick
- 25:00all candidates you don't like,
- 25:02and if they all win,
- 25:03you'll do really well in the Senate Fantasy League and maybe make some money.
- 25:05Um,
- 25:06we are,
- 25:07uh,
- 25:07we have about 500 teams in right now.
- 25:09We'd love to get your team in.
- 25:11500 teams,
- 25:11there's,
- 25:12I think there's,
- 25:12uh,
- 25:13the top 10 all get cash.
- 25:15So you're talking about a 1 in 50 chance of winning cash.
- 25:17Why wouldn't you take that?
- 25:18It's free.
- 25:18It's a free opportunity,
- 25:20uh,
- 25:20to win some money.
- 25:21I was thinking about it,
- 25:22I was thinking about this.
- 25:23I have not run this by anybody yet.
- 25:25But also giving like,
- 25:26I don't know,
- 25:26100 bucks to whoever finishes in dead last place.
- 25:30If you are capable of coming in last place in this,
- 25:33maybe we come up with a prize for that too,
- 25:34cause I,
- 25:35you know,
- 25:35again,
- 25:36just luck,
- 25:36you think you're gonna win some of these cases,
- 25:38uh,
- 25:38races anyway.
- 25:39Um,
- 25:40so,
- 25:40Senate Fantasy.com,
- 25:41do we have the leaderboard up?
- 25:42One thing we added as a feature because some of these names are so great,
- 25:45uh,
- 25:45you can now like the names as well.
- 25:47Um,
- 25:48we just launched this like a couple of hours ago,
- 25:50so you click on the heart next to it
- 25:52and we'll see who likes,
- 25:53uh,
- 25:53the name.
- 25:53Maybe we'll come up with a prize.
- 25:55Some merch or something
- 25:56for whoever,
- 25:57uh,
- 25:57whatever,
- 25:58uh,
- 25:58name does well.
- 25:59Right now,
- 26:00Jay Rogue Fighters is in first place.
- 26:02Um,
- 26:02you kind of look down,
- 26:03let's go Brewers,
- 26:04uh,
- 26:04might get a double win here,
- 26:05uh,
- 26:05winning the World Series and also winning the fantasy league.
- 26:08Kandahar and Jalalabad,
- 26:09I love that one.
- 26:10That was an old bit we did on Glenn's show in like 2001.
- 26:12That's an old-timey listener.
- 26:14I love it.
- 26:15Uh,
- 26:16great,
- 26:16uh,
- 26:16name,
- 26:16neither Steve nor Stu.
- 26:18Uh,
- 26:19is,
- 26:19is in there as well.
- 26:20Ilhan's Legal Fund.
- 26:22I don't know if we,
- 26:22do we want Ilhan's Legal Fund to win?
- 26:25Uh,
- 26:25tons and tons of great ones on there.
- 26:26Go down,
- 26:27scroll around,
- 26:28click on whatever you want.
- 26:29Um,
- 26:30we've got,
- 26:30uh,
- 26:31Steve Krakauer,
- 26:32Megyn Kelly's executive producer is in there now.
- 26:34Uh,
- 26:34uh,
- 26:35uh,
- 26:35PMT,
- 26:35the prediction market trader,
- 26:37one of the top traders in the world is in this.
- 26:39Go in there,
- 26:39see how you match up against them.
- 26:40And then you have me.
- 26:41I'm,
- 26:41I'm in 84th place right now,
- 26:4385th place.
- 26:45I'm gonna pass everybody.
- 26:46Don't worry about it.
- 26:47It just takes time.
- 26:48OK,
- 26:48uh,
- 26:48go there,
- 26:48Senate Fantasy.com.
- 26:49Get in.
- 26:50You only have a week left,
- 26:51but you do have a week.
- 26:52Get your team in there.
- 26:53Be one of the people that can win.
- 26:54I would love to fund.
- 26:55I would love to fund your prediction market account.
- 26:58Uh,
- 26:582500 bucks first prize.
- 27:00I think there's $1000 for second prize.
- 27:01It goes all the way down.
- 27:02Uh,
- 27:03the top 10,
- 27:03I think all of them win cash.
- 27:05Get in,
- 27:05uh,
- 27:06and there's also prizes,
- 27:06I think for the whole top 100.
- 27:08So,
- 27:09lots of chances,
- 27:091 in 5 chance to win something.
- 27:11Go to that Senate Fantasy.com,
- 27:13free to join.
- 27:14Check it out.
- 27:15Senate Fantasy.com.
- 27:16Back in a second.
- 27:34So there's a big election coming up here in 8 days.
- 27:37There was another election that happened over the weekend
- 27:40in Brazil,
- 27:41and it was kind of a big prediction market story.
- 27:43Lula wins Brazil's presidency in stunning blow
- 27:48to Latin America's right.
- 27:50Uh,
- 27:50you'll be shocked to hear that there's some controversy around this election.
- 27:53Um,
- 27:54I,
- 27:54there's also prediction market lessons to be learned.
- 27:56Scottylicious,
- 27:57uh,
- 27:57David Ben Susan who has been on the program a couple of times.
- 27:59Uh,
- 28:00he reminds us of a very important tip.
- 28:03Very important tip about this when it comes to prediction markets.
- 28:05He says,
- 28:06uh,
- 28:06never chase losses.
- 28:08I lost a lot on the first round of the Brazil race,
- 28:10but still had some Lula bought in the low 60s for the final round.
- 28:14It might have been tempting to buy a bunch of Bolsonaro
- 28:16to win in round two because he was heavily favored.
- 28:18Instead,
- 28:19we held tight to the Lula shares we bought and bought more in the low 80s last night
- 28:23when things became obvious.
- 28:24I think over the years I've assimilated the
- 28:26idea that chasing losses is a poor proposition.
- 28:30Now I have to remember
- 28:31the,
- 28:31uh,
- 28:32another important lesson stay the hell away from
- 28:34unpredictable Latin American elections in the first place.
- 28:37I mean,
- 28:37there might be two constitutional amendments in there.
- 28:40Number one,
- 28:40the,
- 28:40uh,
- 28:41the Scotty amendment,
- 28:42um,
- 28:43which is,
- 28:43uh,
- 28:44uh,
- 28:45chasing losses is a poor proposition.
- 28:47I like the wording of it.
- 28:48I think that might be our next,
- 28:49uh,
- 28:49constitutional amendment if he doesn't mind us using it.
- 28:51And then also stay the hell away from unpredictable Latin
- 28:54American elections because when has there ever been anything that's gone
- 28:57awry at all
- 28:58in a Latin American election?
- 28:59Everything seems just,
- 29:00just perfect all the time,
- 29:02uh,
- 29:02never any controversy.
- 29:04Bolsonaro is saying he thinks the election was stolen.
- 29:07It's one of those things that,
- 29:08you know,
- 29:08of course,
- 29:08I don't know,
- 29:09it seems like over the past decade or so every single
- 29:11candidate that has lost an election has said it's stolen.
- 29:14Uh,
- 29:14however,
- 29:14a little more credibility in,
- 29:15in random Latin American elections.
- 29:18We will see if there's any credibility to that.
- 29:20Um,
- 29:20prediction markets are getting
- 29:23hit today because of this election.
- 29:25Why?
- 29:25Well,
- 29:26as,
- 29:26uh,
- 29:27David mentioned,
- 29:28This is a situation where Bolsonaro was favored going into this election night.
- 29:33And,
- 29:33uh,
- 29:33you know,
- 29:34if you look anywhere on Twitter or anything else,
- 29:36people are all saying,
- 29:36oh,
- 29:37see,
- 29:37prediction markets don't predict anything.
- 29:39Look at this chart,
- 29:41and,
- 29:41uh,
- 29:41I'll show you the chart in a second.
- 29:43We're also getting this from the mainstream media,
- 29:45prediction markets credibility
- 29:46on the line in midterms.
- 29:48And of course,
- 29:49that is true.
- 29:50It is on the line.
- 29:51The reason I know that is because
- 29:53it's always on the line.
- 29:54Every single time prediction markets predict anything.
- 29:58We are told that they have to predict it correctly or they have no credibility.
- 30:02That is,
- 30:02of course,
- 30:03an idiotic uh idea,
- 30:05and I can show you evidence of that here in a moment.
- 30:08I will also say,
- 30:09I do get it here.
- 30:11I do get that I am pulling,
- 30:12I am pushing a very heavy
- 30:14uh stone
- 30:16up a very steep
- 30:17hill when I'm asking the American
- 30:20population to understand probability.
- 30:22You being here,
- 30:23might be a little different.
- 30:25You might be able to intake these things and understand them.
- 30:27You have to understand that most people don't,
- 30:29or at least don't care enough to think about it.
- 30:31Um,
- 30:32and that's,
- 30:32of course,
- 30:32social media,
- 30:33it makes that problem 10 times worse than it probably even is.
- 30:37Probability is something that is included when you're talking about these things,
- 30:41and it is very difficult for the average person to understand because to be fair,
- 30:45they don't
- 30:45trade,
- 30:46they don't care
- 30:47about this stuff.
- 30:48Um,
- 30:48so they don't care about your stupid probability arguments.
- 30:51What they care about is who's gonna win,
- 30:53because that's what affects their lives.
- 30:54They don't,
- 30:55they're not trading,
- 30:55they don't,
- 30:56they don't care.
- 30:56They just wanna know who's gonna win.
- 30:57And if you tell them one candidate's gonna win and that candidate loses,
- 31:00well,
- 31:02Then you've lied to them and you have no credibility.
- 31:04That's the way this gets looked at by a lot of people
- 31:07in the general population.
- 31:08And I understand that.
- 31:10I understand the emotions behind it.
- 31:12Of course,
- 31:12what you have to get,
- 31:13if,
- 31:13and if,
- 31:14you know,
- 31:14if you know people who are thinking this way,
- 31:17trying to understand and trying to help them understand this is,
- 31:19is key,
- 31:21uh,
- 31:21to prediction markets having more utility than it might just
- 31:23have to us and to people who are political obsessives.
- 31:27Uh,
- 31:28because
- 31:29what
- 31:29they're not telling you Bolsonaro was going to win.
- 31:31They told,
- 31:31they were telling you Bolsonaro had a good chance to win.
- 31:34Um,
- 31:34do we have the,
- 31:34the market here by any chance on this Bolsonaro election?
- 31:37You see here,
- 31:38uh,
- 31:38Bolsonaro was the underdog,
- 31:40uh,
- 31:40then kind of,
- 31:41uh,
- 31:42went to about a 50/50 race,
- 31:43was the underdog again going into the first round,
- 31:45then became the favorite going into the second round.
- 31:48And if you see the end of this,
- 31:50there's two basically straight up and down lines
- 31:52because they flip-flopped.
- 31:53Go back and give me like a,
- 31:55a,
- 31:55a month here on this chart.
- 31:57And I'm gonna get a better view of it.
- 31:59Bolsonaro was about a 75% favorite going into election day and wound up losing,
- 32:04at least
- 32:05according to the final count.
- 32:06Lula won,
- 32:08as only a 25% chance of winning.
- 32:10What you,
- 32:11you know,
- 32:11what,
- 32:12what is hard for people to understand,
- 32:13cause I think a lot of times they look at this and they think,
- 32:150,
- 32:1575%,
- 32:16a a person who's 75% uh 75%
- 32:19in a polling average
- 32:21is a very,
- 32:22very high,
- 32:22like a almost 100% chance to win.
- 32:25If you're 75% in a polling average,
- 32:26that's different than 75% on a prediction market.
- 32:28A prediction market is telling you
- 32:30that 1 out of every 4 times this election occurs,
- 32:33you should expect Lula to win it.
- 32:363 out of 4,
- 32:37you should expect
- 32:38Bolsonaro to win it.
- 32:40This was one of those indications,
- 32:42or one of those chances where um
- 32:43uh the opposite happened,
- 32:45where the underdog wins.
- 32:46The underdog does win sometimes.
- 32:50And,
- 32:51you know,
- 32:51when you think about prediction markets in a way.
- 32:54They're not,
- 32:55the information they're giving you aren't really predictions.
- 32:58If like if you are on a prediction market,
- 33:00if you're trading,
- 33:01you are doing your best to predict the outcome.
- 33:03That is your role in the process.
- 33:05So in that way,
- 33:06prediction markets are about predicting things.
- 33:09When it comes to the output of a prediction market,
- 33:11when at the end of the Fed day it says 70% favorite for someone like Bolsonaro,
- 33:15what it is doing there is less
- 33:18predicting.
- 33:20and more of crystallizing
- 33:22all of human knowledge into one number.
- 33:26All the things that we think we know.
- 33:28We could be wrong about some of those things.
- 33:30That's why prediction markets,
- 33:31markets aren't perfect,
- 33:32and by the way,
- 33:33here at Predictable with Stew,
- 33:34we are happy they aren't perfect,
- 33:35because if they were perfect,
- 33:36it would be very difficult to make any money.
- 33:38Um,
- 33:38we look for the imperfections and try to take advantage of those.
- 33:41That's what we do here all the time.
- 33:42And there are some imperfections.
- 33:44You can always find value in individual markets,
- 33:47but what
- 33:47prediction markets do really well,
- 33:49is
- 33:50if they tell you
- 33:51a 70%,
- 33:53there's a 70% chance of something happening,
- 33:55over time,
- 33:56what you'll see is,
- 33:57there's a 70% chance of that thing happening.
- 34:00We've told you multiple stories,
- 34:01we should do multiple uh studies of this over time.
- 34:04There's a new one out right now.
- 34:07Uh,
- 34:07calibration,
- 34:07accuracy,
- 34:08and domain variation across 1 million collective forecasts
- 34:11from prediction
- 34:12platforms.
- 34:13Now,
- 34:14I'm not gonna go through all the details of the study because I have a show to do and,
- 34:17uh,
- 34:18I don't want everyone to tune out.
- 34:20OK,
- 34:20I,
- 34:20I,
- 34:20I,
- 34:21reading academic studies on the air is not exactly
- 34:24the highest rating potential.
- 34:26But what I will tell you is,
- 34:27ideally,
- 34:29This study would show you
- 34:30a bunch of lines that go from the bottom left-hand corner of your screen
- 34:34to the bottom,
- 34:35or to the top right-hand corner of your screen.
- 34:37There's a straight line,
- 34:38and you hope that those predictions match that line.
- 34:41Let me show you the results over all of these categories.
- 34:43This is what they came up with over a million different contracts.
- 34:46And what you see here for those listening on podcasts
- 34:49are Lines
- 34:50that go from the bottom left-hand corner of the box,
- 34:53all the way up to the top right-hand corner of the box.
- 34:56That,
- 34:56uh,
- 34:57typical straight line up,
- 34:59uh,
- 34:59to up and to the right is exactly what you
- 35:01want and what you get in almost every category.
- 35:03Now,
- 35:03there are blips here.
- 35:05A couple of the blips you might notice
- 35:07are,
- 35:08um,
- 35:08in geopolitics.
- 35:10A little bit,
- 35:11um,
- 35:12military conflicts,
- 35:13notably unpredictable.
- 35:15Uh,
- 35:15uh,
- 35:15there's a little bit of a bias.
- 35:17Elections,
- 35:17a tad when you go out over a long period of time.
- 35:21Technology sometimes difficult to predict,
- 35:23but I mean,
- 35:24these things are,
- 35:24what I'm,
- 35:24what I'm saying they're difficult.
- 35:25It's like
- 35:26instead of being 100% accurate,
- 35:28it's like 98% or 95% or 90% accurate.
- 35:31You see,
- 35:32there is very little variation from this line showing,
- 35:35once again,
- 35:36you know,
- 35:36this is not the 1st study that showed this,
- 35:38this is like the 5th or 6th that we featured on this show,
- 35:41that when you use prediction markets,
- 35:42they are the greatest tool we have to understand
- 35:45the world.
- 35:46That is,
- 35:47that's it
- 35:48That's one of the reasons why I do this show.
- 35:50Yes,
- 35:51I do it also to make money
- 35:52because I like,
- 35:53uh,
- 35:53being in prediction markets.
- 35:54And again,
- 35:55if prediction markets were just gambling,
- 35:56I can tell you I wouldn't have be up in every single year,
- 36:00uh,
- 36:00that I've been in prediction markets since I started over a decade ago.
- 36:03Uh,
- 36:03it's,
- 36:04it wouldn't be,
- 36:05uh,
- 36:05you can't replicate that unless you're some,
- 36:07you know,
- 36:07genius,
- 36:07uh,
- 36:08you know,
- 36:08professional gambler,
- 36:09maybe some of them can.
- 36:10I can't.
- 36:11All I know is when I gamble,
- 36:12I lose,
- 36:13uh,
- 36:13when I,
- 36:14I'm on prediction markets,
- 36:15I typically win.
- 36:16Not every time.
- 36:17But over a long period of time,
- 36:19and that's what you should look at when
- 36:20you're looking at the accuracy of these markets.
- 36:21So,
- 36:22when you think you're smart and you go on Twitter
- 36:24and you say,
- 36:24oh gosh,
- 36:25well,
- 36:25look at this one election
- 36:27where
- 36:28a 70% favorite lost,
- 36:30I'm really smart for telling you that
- 36:32prediction markets have no predictive ability.
- 36:35Perhaps it would be notable for you to go back
- 36:37and look at the academic studies that have been done
- 36:39to show
- 36:40that what they say,
- 36:42a 70% favorite,
- 36:43should win about 70% of the time,
- 36:45has been shown true over every category,
- 36:47over very long extended periods of time,
- 36:50and millions of different contracts.
- 36:53Yes,
- 36:53you can point at one thing
- 36:55where a favorite lost,
- 36:57and you can think you're really smart and get your retweets and get your likes
- 37:01from people who hate prediction markets for God knows what reason.
- 37:04But at the end of the day,
- 37:05what this is doing is making your information diet
- 37:08better.
- 37:09It's making you understand the world
- 37:11more accurately.
- 37:12It is cutting through media nonsense,
- 37:14partisan nonsense,
- 37:15all of these things that have been the enemy
- 37:18of the information diet of the average.
- 37:20Citizen.
- 37:21It is cutting through all of that.
- 37:23And if you're not in markets at all,
- 37:25if you're just looking at this,
- 37:26because you're just gonna go to Calsci and you're gonna click on the thing and say,
- 37:29oh wow,
- 37:29this person has an 85% chance to win.
- 37:31You're just taking in the information.
- 37:32It's doing
- 37:33all of that for you
- 37:34with all the work
- 37:35for free.
- 37:37And zero effort on your part.
- 37:40How is this seen as anything but an incredible positive,
- 37:43especially when the results are so crystal clear
- 37:46over a long period of time.
- 37:48Prediction markets are doing things
- 37:49that have been the desire,
- 37:51especially of those who feel left out of the mainstream media
- 37:55talking points of the day,
- 37:57who feel,
- 37:58uh,
- 37:58uh,
- 37:59that they don't get
- 38:00the most clear and accurate information.
- 38:02If your desire is that,
- 38:04and I've been working in that field my entire life.
- 38:06Your desire is to take information and actually get accurate information
- 38:10to the people,
- 38:10fair information to the people.
- 38:12Nothing does it better
- 38:14than prediction markets.
- 38:15Back in a second.
- 38:31Time for candidate countdown.
- 38:32We are showing you a candidate a day to that could be um,
- 38:35have some value for you on prediction markets,
- 38:37and then we want to feature today's candidate countdown with 8 days remaining until
- 38:41the midterms
- 38:42is actually a group of candidates,
- 38:44the Socialists.
- 38:45Yes,
- 38:46the Socialists are our candidates of the day.
- 38:48Now that doesn't mean we want to pick the,
- 38:49you know,
- 38:50socialists,
- 38:50but
- 38:50I wanted to break this down for you largely because
- 38:52the New York Times kind of set a
- 38:54Um,
- 38:55uh,
- 38:55a marking point here,
- 38:56and I wanted to kind of note it because
- 38:58we're gonna have a lot of conversation after this election
- 39:01whether socialist candidates
- 39:03can win and whether America just absolutely hearts socialism.
- 39:06Certainly you will get that from a lot of sources.
- 39:08These are the candidates that they put out there in this article,
- 39:11the 11 midterm races that could shape the progressive movement's future,
- 39:15and many of them are either they're either
- 39:17admitted democratic socialists or they just basically are
- 39:21and just won't admit it,
- 39:22one of the two.
- 39:23Um,
- 39:23and they feature these 11 candidates.
- 39:25I want to go through,
- 39:26this is,
- 39:26these are,
- 39:26uh,
- 39:27the Calci percentages for these candidates.
- 39:29El Sayed is a 66% favorite.
- 39:31Flanagan in,
- 39:32uh,
- 39:33Miss,
- 39:33uh,
- 39:33excuse me,
- 39:34Minnesota
- 39:35for the Senate is an 83% favorite.
- 39:37Uh,
- 39:37Nixon,
- 39:38Angela Nixon in Florida is only 14% chance to win,
- 39:42the biggest underdog on this board,
- 39:43uh,
- 39:4459% chance for Jackson to win in Maine.
- 39:47Um,
- 39:47a little rise there for,
- 39:49um,
- 39:49uh,
- 39:50Susan Collins.
- 39:51Uh,
- 39:51Velejas in California,
- 39:5322 is at 91% chance to,
- 39:56to win.
- 39:57Rutanel in Colorado 8th is the 85% favorite.
- 40:01Lawrence,
- 40:0173% favorite
- 40:03in Michigan,
- 40:037.
- 40:04Pearson,
- 40:05who just got some awesome hair,
- 40:06I gotta say right now.
- 40:07I mean,
- 40:08I would vote for him just for the hair,
- 40:09a 19% favorite to win in Tennessee,
- 40:119.
- 40:13Dunlap,
- 40:1345%,
- 40:14also great hair.
- 40:15Uh,
- 40:16for Dunlap,
- 40:16look at that.
- 40:17That's really nice.
- 40:18Uh,
- 40:1845% favorite in Maine,
- 40:20too,
- 40:21but he's bald,
- 40:21by the way,
- 40:22for those listening on podcast.
- 40:23Um,
- 40:24uh,
- 40:24for stag,
- 40:25uh,
- 40:25Montana,
- 40:26First District,
- 40:2744% favorite,
- 40:28and Brooks in Pennsylvania 7th,
- 40:29and 88% favorite.
- 40:30You see this kind of all over the board,
- 40:32a couple of real long shots and Nixon and Pearson,
- 40:34but this will be an interesting way to look back.
- 40:37At,
- 40:37uh,
- 40:38whether progressivism had a big night or not.
- 40:40If you're getting a lot of these people who are in,
- 40:42you know,
- 40:42if you're getting 19 and 14% favorites to win,
- 40:45it's a big night for progressivism.
- 40:46If they're only winning the races and maybe they lose an 85% favorite,
- 40:50maybe the opposite story should be told.
- 40:52It's going to be a very interesting thing.
- 40:53I will say looking at this as far as value goes.
- 40:57Both Minnesota and Oregon are just,
- 40:59they're so tempting to me.
- 41:01Uh,
- 41:01they're so tempting.
- 41:01In a blue year,
- 41:03it's just so hard to believe
- 41:05that
- 41:06voters in Minnesota and Oregon would pick the Republican.
- 41:10Again,
- 41:10like Peggy Flanagan is at 83%.
- 41:12That's a nice profit for a week.
- 41:14You're talking about basically 20% profit,
- 41:16uh,
- 41:16in a week
- 41:18if you were to go that direction with Flanagan.
- 41:20But you look at Flanagan,
- 41:21she's just an oddball,
- 41:22man,
- 41:23like she dresses like a weirdo,
- 41:24uh,
- 41:25I know,
- 41:26I,
- 41:26and then Michelle Tafoya,
- 41:28who's,
- 41:28you know,
- 41:28again,
- 41:28it's unfair,
- 41:29she's been a television personality for a long time.
- 41:32She comes off as very normal,
- 41:33very relatable.
- 41:35But can a Republican win in Minnesota in this climate?
- 41:38Same thing happening over in,
- 41:39uh,
- 41:40you know,
- 41:40a little bit different dynamic,
- 41:41with the Oregon governor's race,
- 41:43which is one of my bigger positions,
- 41:45uh,
- 41:45on Tina Kottek to win there,
- 41:47but the polling has been very,
- 41:48very close
- 41:49for someone who's in that position,
- 41:51I will say,
- 41:51so.
- 41:52That's where we stand right now.
- 41:53Our candidates today is 11 different people.
- 41:54We're gonna keep track of these people
- 41:56and,
- 41:56and revisit this after the election,
- 41:58uh,
- 41:58to say,
- 41:59hey,
- 41:59how did the Socialists actually do by their own standards they set
- 42:02beforehand
- 42:03rather than the,
- 42:04you know,
- 42:05the spin room afterward.
- 42:06So we'll follow that closely as well.
- 42:08Back in a second.
- 42:18I have over 350 positions on prediction markets,
- 42:22the majority of them probably about
- 42:24the election that's gonna end up in a week.
- 42:26And then I'm gonna have a lot,
- 42:27uh,
- 42:27a much lighter diet.
- 42:29Of the,
- 42:30uh,
- 42:30of,
- 42:30of physicians,
- 42:31but all of them are up on PredictableShow.com.
- 42:33If you wanna go there,
- 42:34uh,
- 42:35you'd be a premium subscriber.
- 42:36You can see all of my picks when I make them.
- 42:38Uh,
- 42:38you get a nice advance of that before we really ever,
- 42:40most of the time even talk about them on the air.
- 42:43Uh,
- 42:43and if you're someone who trades markets,
- 42:44you're gonna find great value,
- 42:46uh,
- 42:46in this election.
- 42:47Look,
- 42:48there is money to be made on this election.
- 42:49We're gonna make some of it.
- 42:50And I,
- 42:51I,
- 42:51I wanna make sure.
- 42:52I wanna try to put ourselves in a position where we're going to be positive,
- 42:55uh,
- 42:55for,
- 42:55uh,
- 42:56this election cycle.
- 42:57I think we're,
- 42:57you know,
- 42:58I,
- 42:58I did a little analysis of this on my own,
- 43:00uh,
- 43:00positions
- 43:01over the weekend.
- 43:03About 70% of,
- 43:04of where we are,
- 43:05are up right now.
- 43:06There's a bunch that are around even from where I bought them.
- 43:09Few that are down that make me worried,
- 43:11uh,
- 43:11but we're gonna look at that and on election night,
- 43:13we're gonna have a massive live stream.
- 43:15Gonna be hours and hours and hours and hours as long as my voice can hold up.
- 43:19And it will be us live trading these markets together,
- 43:23talking about these markets,
- 43:24analyzing the election results,
- 43:26doing all the things
- 43:27that I think will bring value to you.
- 43:29Um,
- 43:30we will have a special pre-show as well for,
- 43:32uh,
- 43:33premium subscribers only.
- 43:34So if you have specific questions about your markets,
- 43:36we're gonna try to answer every single one of those.
- 43:39So,
- 43:39on election day,
- 43:40sometime during the day,
- 43:41we'll have a pre-show.
- 43:42We'll join you right around the time when polls are opening.
- 43:45Um,
- 43:46for the day,
- 43:47and we'll be trading those markets live.
- 43:49We're also gonna give you tons of resources and
- 43:50there are tons of resources already at predictableShow.com.
- 43:53We're in the middle of doing our packet,
- 43:54uh,
- 43:55for,
- 43:55um,
- 43:56election night and to kind of get you ready for that.
- 43:59When you kind of look at the way
- 44:02all of this plays out,
- 44:04what you're gonna see,
- 44:05I think,
- 44:06is um
- 44:07a real.
- 44:09A collection of tools that I don't think have ever been available anywhere,
- 44:12frankly.
- 44:13If you want to
- 44:14win and,
- 44:15and profit on prediction markets when it comes to elections,
- 44:18I don't know that there's ever been a better place to go
- 44:20than predictableShow.com.
- 44:22And I think you'll,
- 44:23uh,
- 44:23if you go there and you're a member,
- 44:24I think you'll understand that
- 44:26by the time we get there because there's going to be a ton,
- 44:28we already have a ton of tools up there for you to use.
- 44:31Uh,
- 44:31election models,
- 44:32all stuff that's fun like Senate Fantasy,
- 44:35all the way to,
- 44:35you know,
- 44:36uh,
- 44:36a million other options.
- 44:37So go check it out.
- 44:38PredictableShow.com.
- 44:39This is a great time to join PredictableShow.com.
- 44:43Thank you so much for joining us.
- 44:44We'll talk to you tomorrow.