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Lobbying contests with alternative instruments

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Author Info
Gil S. Epstein
Carsten Hefeker

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Abstract

This is a model of a contest where, in order to win, each opponent can use two instruments. The probabilities of winning are explored, as well as the expenditures of the interest groups, and the relative rent-dissipation in both cases where the players have the option to use only one instrument (the standard Tullock contest) and where the players have the option to use two instruments in the contest. We show that the use of two instruments strengthens the player with the higher stake, decreases the relative rent dissipation and it decreases total expenditure if the parties are sufficiently asymmetric. Copyright Springer-Verlag Berlin Heidelberg 2003

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File URL: http://hdl.handle.net/10.1007/s101010200049
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Publisher Info
Article provided by Springer in its journal Economics of Governance.

Volume (Year): 4 (2003)
Issue (Month): 1 (04)
Pages: 81-89
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Handle: RePEc:spr:ecogov:v:4:y:2003:i:1:p:81-89

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Related research
Keywords: Key words: Rent-seeking; rent-dissipation; lobbying; JEL Classification: C72; D72;

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Cited by:
(explanations, Please report citation or reference errors to , or , if you are the registered author of the cited work, log in to your RePEc Author Service profile, click on "citations" and make appropriate adjustments.)
  1. Lambert Schoonbeek, 2007. "Delegation with multiple instruments in a rent-seeking contest," Public Choice, Springer, vol. 131(3), pages 453-464, June. [Downloadable!] (restricted)
    Other versions:
  2. Matthias Kräkel, 2004. "R&D spillovers and strategic delegation in oligopolistic contests," Managerial and Decision Economics, John Wiley & Sons, Ltd., vol. 25(3), pages 147-156. [Downloadable!]
  3. Caruso, Raul, 2006. "Conflict and Conflict Management with Interdependent Instruments and Asymmetric Stakes,(The Good-Cop and the Bad-Cop Game)," MPRA Paper 214, University Library of Munich, Germany, revised Sep 2006. [Downloadable!]
    Other versions:
  4. Caruso, Raul, 2007. "Conflict and Conflict Managment with Asymmetric Stakes (The Bad-Cop and the Good Cop part II)," MPRA Paper 1438, University Library of Munich, Germany. [Downloadable!]
  5. Philip A. Curry & Steeve Mongrain, 2007. "Deterrence in Rank-Order Tournaments," Discussion Papers dp07-04, Department of Economics, Simon Fraser University. [Downloadable!]
  6. Johannes Münster, 2006. "Contests with Investment," Discussion Papers 120, SFB/TR 15 Governance and the Efficiency of Economic Systems, Free University of Berlin, Humboldt University of Berlin, University of Bonn, University of Mannheim, University of Munich. [Downloadable!]
  7. Johannes Münster, 2007. "Contests with investment," Managerial and Decision Economics, John Wiley & Sons, Ltd., vol. 28(8), pages 849-862. [Downloadable!]
  8. Caruso, Raul, 2007. "THE Economics of Match-Fixing," MPRA Paper 3085, University Library of Munich, Germany. [Downloadable!]
  9. Johannes Münster, 2009. "Group contest success functions," Economic Theory, Springer, vol. 41(2), pages 345-357, November. [Downloadable!] (restricted)
  10. Kai A. Konrad, 2005. "Tournaments and Multiple Productive Inputs: The Case of Performance Enhancing Drugs," IZA Discussion Papers 1844, Institute for the Study of Labor (IZA). [Downloadable!]
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