Ryvkin, Dmitry; Drugov, Mikhail - In: Theoretical Economics 15 (2020) 4, pp. 1587-1626
In winner-take-all tournaments, agents' performance is determined jointly by effort and luck, and the top performer is rewarded. We study the impact of the ''shape of luck'' -- the details of the distribution of performance shocks -- on incentives in such settings. We are concerned with the...
