Showing 1 - 10 of 19
This paper analyzes the consequences of a parametrized class of sharing rules on the propensity of individuals to sabotage each other in a cooperative production framework. The considered sharing rules include equal and proportional sharing as special cases and are parametrized with respect to...
Persistent link: https://www.econbiz.de/10011154642
Contest rules are set up by administrators who frequently have discretionary power in specifying the details of these rules, i.e., they can bias the contest rules toward specific contestants in order to further their prime objective. We derive the optimal bias of the contest rule for a contest...
Persistent link: https://www.econbiz.de/10010993615
We allow a contest organizer to bias a contest in a discriminatory way; i.e., she can favor specific contestants by designing the contest rule in order to maximize total equilibrium effort (resp. revenue). The two predominant contest regimes are considered, all-pay auctions and lottery contests....
Persistent link: https://www.econbiz.de/10011049677
In this paper we analyze how biased lotteries can be used to overcome the free-riding problem in voluntary public good provision. We characterize the optimal combinations of bias and lottery prize and the conditions that guarantee efficient public good provision in equilibrium.
Persistent link: https://www.econbiz.de/10011116204
We characterize revenue maximizing head starts for all-pay auctions and lottery contests with many heterogeneous players. We show that under optimal head starts all-pay auctions revenue-dominate lottery contests for any degree of heterogeneity among players. Moreover, all-pay auctions with...
Persistent link: https://www.econbiz.de/10011100014
We allow a contest organizer to bias a contest in a discriminatory way, that is, she can favor specific contestants through the choice of contest success functions in order to maximize total equilibrium effort (resp. revenue). The scope for revenue enhancement through biasing is analyzed and...
Persistent link: https://www.econbiz.de/10010533915
We provide a solution to the free-rider problem in the provision of a public good. To this end we define a biased indirect contribution game which provides the efficient amount of the public good in non-cooperative Nash equilibrium. No confiscatory taxes or other means of coercion are used. We...
Persistent link: https://www.econbiz.de/10010617566
Affirmative-action policies bias tournament rules in order to provide equal opportunities to a group of competitors who have a disadvantage they cannot be held responsible for. Critics argue that they distort incentives, resulting in lower individual performance, and that the selected pool of...
Persistent link: https://www.econbiz.de/10010547484
We provide a solution to the free-rider problem in the provision of a public good. To this end we define a biased indirect contribution game which provides the efficient amount of the public good in non-cooperative Nash equilibrium. No confiscatory taxes or other means of coercion are used. We...
Persistent link: https://www.econbiz.de/10010610087
Levelling the playing field is an important policy instrument to guarantee an equitable competition among heterogeneous individuals. However, the incentive effects of those policies are usually not explicitly addressed in empirical studies. In this article the performance in amateur golf...
Persistent link: https://www.econbiz.de/10010971219