Showing 1 - 10 of 1,381
We consider a general class of imperfectly discriminating contests with privately informed players. We show that findings by Athey (2001) imply the existence of a Bayesian Nash equilibrium in monotone pure strategies.
Persistent link: https://www.econbiz.de/10008822063
We study the sorting of contestants across Tullock contests, and the allocation of a prize budget across these contests. Our benchmark result is that total effort is maximized by a unique grand contest and contestant exclusions decrease total effort. We consider two extensions of our benchmark...
Persistent link: https://www.econbiz.de/10013296576
We use a Tullock-type contest to show that intuitively and structurally different contests can be strategically equivalent. Strategically equivalent contests generate the same best response functions and, as a result, the same efforts. Two strategically equivalent contests, however, may yield...
Persistent link: https://www.econbiz.de/10014164442
This paper analyzes incumbency contests in a large population setting. Incumbents repeatedly face different challengers, holding on to their positions until defeated in a contest. Defeated incumbents turn into challengers until they win a contest against an incumbent, thereby regaining an...
Persistent link: https://www.econbiz.de/10012968580
We consider contestants who must choose exactly one contest, out of several, to participate in. We show that when the contest technology is of a certain type, or when the number of contestants is large, a self-allocation equilibrium, i.e., one where no contestant would wish to change his choice...
Persistent link: https://www.econbiz.de/10012947451
We consider a best-of-three Tullock contest between two ex-ante identical players. An effort-maximizing designer commits to a vector of player-specific biases (advantages or disadvantages). In our benchmark model the designer chooses victory-dependent biases (i.e., the biases depend on the...
Persistent link: https://www.econbiz.de/10012918987
In a multi-project contract environment with a single agent who is subject to limited liability, the optimality of performance bundling across all projects is well established: The agent should be rewarded only if all projects are successful. In this paper, we study performance bundling across...
Persistent link: https://www.econbiz.de/10012889745
We study competitive behavior in all-pay Tullock (1980) contests with identity-dependent externalities (IDEs) governed by a fixed network. First, we introduce a model of network contest games, in which the prize generates an externality---which may be positive or negative---that impacts each...
Persistent link: https://www.econbiz.de/10013218632
We examine a rent-seeking contest by teams, where team members can sabotage their teammates. In this setting, the effective effort (the effort level discounted by the sabotaged level) determines a team's winning probability and the shares of the winning prize. Thus, coordinating the effective...
Persistent link: https://www.econbiz.de/10013228169
We use a Tullock-type contest model to show that intuitively and structurally different contests can be strategically and revenue equivalent to each other. We consider a two-player contest, where outcome-contingent payoffs are linear functions of prizes, own effort, and the effort of the rival....
Persistent link: https://www.econbiz.de/10013143626