Dubey, Pradeep; Geanakoplos, John - Cowles Foundation for Research in Economics, Yale University - 2005
We introduce grading into games of status. Each player chooses effort, producing a stochastic output or score. Utilities depend on the ranking of all the scores. By clustering scores into grades, the ranking is coarsened, and the incentives to work are changed. We first apply games of status to...