Jeremiah Johnson Weeks after it was clear that Donald Trump lost the 2020 election, you could still make pennies on the dollar betting Joe Biden would win. Why doesn’t smart money drive out dumb money in election markets? Prediction markets are having a moment. The mainstream media is increasingly profiling them — see, for example, Bloomberg’s Matt Levine linking to a market on why Sam Altman was fired from OpenAI — and paying attention to what they have to say. Advocates claim that by providing...