Leuven, Edwin; Oosterbeek, Hessel; van der Klaauw, Bas - Institute for the Study of Labor (IZA) - 2010
In this paper we investigate how heterogeneous agents choose among tournaments with different prizes. We show that if the number of agents is sufficiently small, multiple equilibria can arise. Depending on how the prize money is split over the tournaments, these may include, for example, a...