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We consider a two group contest over a group specific public good where each member of a group has a different benefit from the good. Our model can be interpreted in two ways: Each of the players has a non-linear investment cost in the contest, or alternatively, the returns to effort are...
Persistent link: https://www.econbiz.de/10010336001
We consider a two group contest over a group specific public good comparing two situations: (i) when all players act independently; and (ii) when the players of each group cooperate. This comparison leads us to the conclusion that it is possible for one group to contribute more (and have a...
Persistent link: https://www.econbiz.de/10010336057
We model competing groups when players' values for winning are private information, each group's performance equals the best effort ("best shot") of its members, and the group with the best performance wins the contest. At the symmetric equilibrium of symmetric contests, increasing the number of...
Persistent link: https://www.econbiz.de/10014142038
We consider a two group contest over a group specific public good comparing two situations: (i) when all players act independently; and (ii) when the players of each group cooperate. This comparison leads us to the conclusion that it is possible for one group to contribute more (and have a...
Persistent link: https://www.econbiz.de/10009383068
We consider a two group contest over a group specific public good where each member of a group has a different benefit from the good. Our model can be interpreted in two ways: Each of the players has a non-linear investment cost in the contest, or alternatively, the returns to effort are...
Persistent link: https://www.econbiz.de/10003817303
I analyse a group contest in which groups decide over two dimensions of membership-exclusivity: whether a member is allowed to join the group at all, and whether this member is allowed to join another group as well. If the prize is mostly private, group leaders do not offer membership in...
Persistent link: https://www.econbiz.de/10013323852
Previous work on the formation and stability of cartels has focused on the case of identical players. This assumption is very restrictive in many economic environments. This paper analyses stability of cartels in games with heterogeneous players and spillovers to non-members. I introduce a...
Persistent link: https://www.econbiz.de/10010312346
We propose a two dimensional infinite horizon model of public consumption in which investments are decided by a winner-take-all election. Investments in the two public goods create a linkage across periods and parties have different specialities. We show that the incumbent party vote share...
Persistent link: https://www.econbiz.de/10010312594
Quasilinear preferences on a public good and a numeraire good are limits of preferences where both goods are normal. The set of equilibria of the voluntary contribution (or private provision) game is easily characterized under quasilinearity by: top valuators aggregately contribute their common...
Persistent link: https://www.econbiz.de/10010317090
That individuals contribute in social dilemma interactions even when contributing is costly is a well-established observation in the experimental literature. Since a contributor is always strictly worse off than a non-contributor the question is raised if an intrinsic motivation to contribute...
Persistent link: https://www.econbiz.de/10010261072