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Evolutionary equilibrium in Tullock contests: spite and overdissipation

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Author Info

  • Hehenkamp, B.
  • Leininger, W.
  • Possajennikov, A.

Abstract

Tullock's analysis of rent-seeking as a contest is reconsidered from an evolutionary point of view. We show that evolutionary stable behavior in a Tullock contest exists and differs from behavior in Nash equilibrium. Evolutionary stable behavior in these contests is robust in a strong sense and may entail overdissipation of the contested rent.

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Bibliographic Info

Article provided by Elsevier in its journal European Journal of Political Economy.

Volume (Year): 20 (2004)
Issue (Month): 4 (November)
Pages: 1045-1057

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Handle: RePEc:eee:poleco:v:20:y:2004:i:4:p:1045-1057

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Web page: http://www.elsevier.com/locate/inca/505544

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References

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  1. Michael R. Baye & Dan Kovenock & Casper G. de Vries, 2000. "Comparative Analysis of Litigation Systems: An Auction-Theoretic Approach," CIG Working Papers FS IV 00-13, Wissenschaftszentrum Berlin (WZB), Research Unit: Competition and Innovation (CIG).
  2. Alex Possajennikov, 2001. "Evolutionary Foundations of Aggregate-Taking Behavior," Discussion Papers in Economics 01_10, University of Dortmund, Department of Economics.
  3. Stergios Skaperdas, 1996. "Contest success functions (*)," Economic Theory, Springer, vol. 7(2), pages 283-290.
  4. Schoonbeek, L. & Kooreman, P., 1997. "The specification of the probability functions in Tullock's rentseeking contest," Open Access publications from Tilburg University urn:nbn:nl:ui:12-377560, Tilburg University.
  5. Michael R. Baye & Dan Kovenock & Casper G. de Vries, 1997. "The Incidence of Overdissipation in Rent-Seeking Contests," Tinbergen Institute Discussion Papers 97-045/2, Tinbergen Institute.
  6. Armen A. Alchian, 1950. "Uncertainty, Evolution, and Economic Theory," Journal of Political Economy, University of Chicago Press, vol. 58, pages 211.
  7. Wolfgang Leininger, 2002. "Contests over Public Goods: Evolutionary Stability and the Free-Rider Problem," CESifo Working Paper Series 713, CESifo Group Munich.
  8. Wolfgang Leininger, 2003. "On evolutionarily stable behavior in contests," Economics of Governance, Springer, vol. 4(3), pages 177-186, November.
  9. Hirshleifer, Jack & Osborne, Evan, 2001. " Truth, Effort, and the Legal Battle," Public Choice, Springer, vol. 108(1-2), pages 169-95, July.
  10. Baye, Michael R. & Hoppe, Heidrun C., 2003. "The strategic equivalence of rent-seeking, innovation, and patent-race games," Games and Economic Behavior, Elsevier, vol. 44(2), pages 217-226, August.
  11. J. Maynard Smith, 2010. "The Theory of Games and Evolution of Animal Conflicts," Levine's Working Paper Archive 448, David K. Levine.
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