Optimal Policies for Playing Variable Wager HI-LO: A Comparative Evaluation

The HI-LO gaming routine takes many different forms with optimal playing strategies varying accordingly. The paper focuses on a variable wager (VW) variant of the game for which there are alternative recommendations on how best to play (Freeman, 2001). Using computer simulation, the rival approaches have been evaluated across a range of simple games and from the comparative results obtained, some definitive conclusions drawn.