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Re:A Mathematical Theory of Communication (1948) [pdf] by sl8r on Friday May 01, 2020 @02:02AM (#23039490)
If you're interested in this, check out Cover's Information Theory textbook — the rabbit hole goes much deeper. One of the most interesting examples, is that when you're betting on a random event, Shannon entropy tells you how much to bet & how quickly you can compound your wealth. Cover covers (heh) this, and the original paper is Kelly: http://www.herrold.com/brokerage/kelly.pdf
Re:A Mathematical Theory of Communication (1948) [pdf] by PaulRobinson on Friday May 01, 2020 @04:47AM (#23040234)
Kelly's paper (based on this paper by Shannon), is responsible for fundamentally reshaping equity, commodity and even sports betting markets.

I highly recommend William Poundstone's book, "Fortune's Formula" as a biography of those ideas - it's almost as good as any Michael Lewis book on the subject would be.