In winner-take-all tournaments, agents' performance is determined jointly by effort and luck, and the top performer is rewarded. We study the impact of the ''shape of luck'' -- the details of the distribution of performance shocks -- on incentives in such settings. We are concerned with the...

Summary Though there is a huge variety of different Tchebycheff-type inequalities in the literature a systematised structuring is missing. The few existing surveys remain rather enumerative. Therefore in this paper a structuring of Tchebycheff-type inequalities is suggested which is based on...

In this paper we verify the conditions under which the marginal cost approach of Berg (1980, 1995) holds. As observed by Aven and Dekker (1996) the validity of the marginal cost approach gives rise to a useful framework of single component maintenance optimization models which covers almost all...

In this paper we verify the conditions under which the marginal cost approach of Berg (1980, 1995) holds. As observed by Aven and Dekker (1996) the validity of the marginal cost approach gives rise to a useful framework of single component maintenance optimization models which covers almost all...

This paper studies the optimization of the (<i>S</i>, <i>T</i>) inventory policy, where <i>T</i> is the replenishment interval and <i>S</i> is the order-up-to level. First, we demonstrate that the previously established joint convexity of the long-run average cost is false. Hence, the optimization is not straightforward....