This paper studies the market for monopolistically supplied sweepstakes. We derive equilibrium demands for fixed-prize and variable-prize sweepstakes and determine the profit-maximizing prize level and pay-out ratio respectively. It can be profitable to offer each type of sweepstake when there...

This article studies how players allocate their endowed resources between productive and conflictual activities in the context of rivalry between two groups. We show that the suboptimality and exploitation propositions established by Olson (1965) do not necessarily apply when external threat is...

The authors study the optimization problem of an unregulated air carrier that is given the exclusive right to satisfy demand for air travel between any pair of cities. It chooses a network of connections and a set of prices to maximize profits. Thus, both network design and prices are...