My take on this... (I'm assuming that it's already decided from the beginning who's going to die)
There are three prisoners, A, B, and C.
Now there are 3!=6 orders in which they can call out the prisoners, for convenience let's assume that the prisoner that is spared is called out last. Now these are the possibilities:
A,B,C
A,C,B
B,A,C
C,A,B
B,C,A
C,B,A
All these possibilities are equally probable.
Now the guard comes in and says "two of you will die". You ask which one of you fellow prisoners will die, to which he points out (and this is arbitrary) either B or C. Now notice that there was never any chance that he would point at you!
Case 1 (B dies, 50% probable):
Now all possibilities where B survives are out. Remaining 4 possibilities:
A,B,C
B,A,C
B,C,A
C,B,A
Case 2 (C dies, 50% probable):
Now all possibilities where C survives are out. Remaining 4 possibilities:
A,C,B
C,A,B
B,C,A
C,B,A
Now this is important. We all know that all cases are equally likely, right? So it would seem like there's a 50% chance that you'll die in both cases, and both cases are 50% likely, which would give .5^2+.5^5=50%. WRONG! Look again at the two cases. Notice something? Every order in which YOU survive is possible in both cases! Now the total probability of all orders are the same. The probability of the two cases being 50/50, the orders in which you survive are only half as likely to happen under any given case. So a better representation would be:
Case 1 (B dies, 50% probable):
A,B,C,33%
B,A,C,33%
B,C,A,16.667%
C,B,A,16.667%
Case 2 (C dies, 50% probable):
A,C,B,33%
C,A,B,33%
B,C,A,16.667%
C,B,A,16.667%
So as you can see, the probability that you die is 2/3 after all.
There are three prisoners, A, B, and C.
Now there are 3!=6 orders in which they can call out the prisoners, for convenience let's assume that the prisoner that is spared is called out last. Now these are the possibilities:
A,B,C
A,C,B
B,A,C
C,A,B
B,C,A
C,B,A
All these possibilities are equally probable.
Now the guard comes in and says "two of you will die". You ask which one of you fellow prisoners will die, to which he points out (and this is arbitrary) either B or C. Now notice that there was never any chance that he would point at you!
Case 1 (B dies, 50% probable):
Now all possibilities where B survives are out. Remaining 4 possibilities:
A,B,C
B,A,C
B,C,A
C,B,A
Case 2 (C dies, 50% probable):
Now all possibilities where C survives are out. Remaining 4 possibilities:
A,C,B
C,A,B
B,C,A
C,B,A
Now this is important. We all know that all cases are equally likely, right? So it would seem like there's a 50% chance that you'll die in both cases, and both cases are 50% likely, which would give .5^2+.5^5=50%. WRONG! Look again at the two cases. Notice something? Every order in which YOU survive is possible in both cases! Now the total probability of all orders are the same. The probability of the two cases being 50/50, the orders in which you survive are only half as likely to happen under any given case. So a better representation would be:
Case 1 (B dies, 50% probable):
A,B,C,33%
B,A,C,33%
B,C,A,16.667%
C,B,A,16.667%
Case 2 (C dies, 50% probable):
A,C,B,33%
C,A,B,33%
B,C,A,16.667%
C,B,A,16.667%
So as you can see, the probability that you die is 2/3 after all.