We study the war of attrition between two players when the players' signals are binary and affiliated. Our model covers both the case of common values and affiliated private values. We characterize the unique symmetric equilibrium and demonstrate the possibility of nonmonotonic symmetric...

This paper analyzes all-pay auctions where the bidders have affiliated values for the object for sale and where the signals take binary values. Since signals are correlated, high signals indicate a high degree of competition in the auction and since even losing bidders must pay their bid,...