Morgan, John (contributor); Orzen, Henrik (contributor); … - 2008
that (a) contest entry and rent-seeking expenditures increase with the size of the prize; and (b) earnings are equalized … between the contest and the outside option. While the directional predictions offered in (a) are supported in the data, the … level predictions are not. Prediction (b) is not supported in the data: When the prize is large, contest participants earn …