In determining the legality of online poker—a multibillion dollar industry—courts have relied heavily on the issue of whether or not poker is a game of skill. Using newly available data, the authors analyze that question by examining the performance in the 2010 World Series of Poker of a group of poker players identified as being highly skilled prior to the start of the events. Those players identified a priori as being highly skilled achieved an average return on investment of over 30%, compared to a −15% for all other players. This large gap in returns is strong evidence in support of the idea that poker is a game of skill.
