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In markets with asymmetric information, where equilibria are often inefficient, bargaining can help promote welfare. We …
Persistent link: https://www.econbiz.de/10012854487
Within-group communication in competitive coordination games has been shown to increase competition between groups and …
Persistent link: https://www.econbiz.de/10012970700
This chapter surveys recent theoretical developments in the intersection of price discrimination and imperfect competition, emphasizing how the introduction of competition fundamentally alters some well-established results derived from models of monopoly pricing
Persistent link: https://www.econbiz.de/10013058619
We model competition on a credence market governed by an imperfect label, signaling high quality, as a rank-order tournament between firms. In this market interaction, asymmetric firms jointly and competitively control the underlying quality ranking's precision by releasing individual...
Persistent link: https://www.econbiz.de/10014336462
Costless pre-play communication has been shown to effectively facilitate within-group coordination. However, in … competitive coordination games, such as rent-seeking contests, better within-group coordination leads to more aggressive …
Persistent link: https://www.econbiz.de/10013029381
In the last decade, forced ranking systems where employees' bonuses depend on their rank assigned by superiors have become less popular. Whereas the inherently competitive structure of ranking systems provides high effort incentives, it might also increase incentives for misconduct. Previous...
Persistent link: https://www.econbiz.de/10013288029
integration may reduce welfare. The results are consistent with the available empirical evidence. …
Persistent link: https://www.econbiz.de/10012806389
We analyze a divisible good uniform-price auction that features two groups each with a finite number of identical bidders. Equilibrium is unique, and the relative market power of a group increases with the precision of its private information but declines with its transaction costs. In line with...
Persistent link: https://www.econbiz.de/10011580637
We consider a class of incomplete-information Colonel Blotto games in which N ≥ 2 agents are engaged in (N + 1) battlefields. An agent's vector of battlefield valuations is drawn from a generalized sphere in Lp-space. We identify a Bayes-Nash equilibrium in which any agent's resource...
Persistent link: https://www.econbiz.de/10012123363
In this paper, we study N-player Colonel Blotto games with incomplete information about battlefield valuations. Such games arise in job markets, research and development, electoral competition, security analysis, and conflict resolution. For M ≥ N + 1 battlefields, we identify a Bayes-Nash...
Persistent link: https://www.econbiz.de/10012436059