I finished this book last night, and it was a lot of fun. Edward Ugel worked for several years at a company that bought annuities, especially lottery prizes. You see the commercials on TV by J.G. Wentworth and others; these long-term payment arrangements have cash value right now, and a lot of people would rather have a lot of money today than a little bit of money every year for 20 years.
This book had two things that interested me. The first was that it was all about valuing annuities, which my students have to do in finance class but rarely seem to connect to a real-world purpose. Here’s a great example! Somehow, thinking about lottery prizes resonates more than the needs of people saving for retirement.
The second reason is that I am just fascinated by the relationships between money and culture. Money affects people – obviously – and this book has some great examples. The lottery winners, the firm’s sales people, and Ugel himself (who has a gambling addiction) are all grappling with what money means to their lives. This isn’t about paying rent and buying groceries. It’s about the difference between muddling along and gaining huge wealth – and then losing it in short order. Lottery winners have to protect themselves from scheming relatives and gamblers have to watch out for pit bosses who have an eye on the bottom line.
This exploration of money, emotion, and relationships sits beneath a rollicking array of war stories, office political tales, and happy hour bullshitting. It’s a light and good read. I loved this book.
