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AI Insights:
03.06 23:25 UpdatedFair Value Reasoning:
CA-12 (Oakland/Berkeley area) is a D+40 district per Cook PVI. The incumbent Democrat (Lateefah Simo...
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Divergence
Significant divergence exists. Market pricing implies a ~9.5% chance of a Democratic loss (90.5c), which disconnects from political reality. In a D+40 district, the true win probability is >99%. This divergence stems from cost of capital, liquidity premiums, and excessive hedging against 'tail risks' in prediction markets, rather than genuine electoral competitiveness.