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This paper provides existence and characterization of the optimal contest success function under the condition that the objective of the contest designer is total effort maximization among n heterogeneous players. Heterogeneity of players makes active participation of a player in equilibrium...
Persistent link: https://www.econbiz.de/10013157192
We define an indirect evolutionary approach formally and apply it to (Tullock) contests. While it is known (Leininger, 2003) that the direct evolutionary approach in the form of finite population ESS (Schaffer, 1988) yields more aggressive behavior than in Nash equilibrium, it is now shown that...
Persistent link: https://www.econbiz.de/10013316503