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We examine a contest, modelled as an all-pay auction, in which a strong and a weak contestant compete, and where a contestant may suffer from a handicap or benefit from a head start. The former reduces the contestant's score by a fixed percentage; the latter is an additive bonus. The two...
Persistent link: https://www.econbiz.de/10005168870
Comparative statics for contests with two privately informed and ex ante heterogeneous contestants are analyzed … part of the paper considers dynamic contests in which one bidder may endogenously be revealed to be weak. For example, the …
Persistent link: https://www.econbiz.de/10005040600