|Posted: December 10, 2008, 11:30 pm - IP Logged|
The destruction of the financial system by the scammers in the Bush administration has implications in this case, since interest rates are low on government bonds. This is because they are considered as safe compared to say, stocks, or corporate bonds. They are not safe, but they are considered so.
Back in 2007, the annuity to cash ratio was more like 59%, meaning that the cash prize in the current drawing would have generated a marketing claim of a $239 million jackpot.
I always rely on the cash value to determine the expectation value for a jackpot. The annuity value is meaningless.
If hyperinflation strikes - and well it might - all jackpots will be worthless.