Individuals who compete in a contest-like situation (for example, in sports, in promotion tournaments, or in an appointment contest) may have an incentive to illegally utilize resources in order to improve their relative positions. We analyze such doping within a tournament game between two heterogeneous players. Three major e.ects are identified which determine a player’s doping decision — a cost e.ect, a likelihood e.ect and a windfall-profit e.ect. Moreover, we discuss whether the favorite or the underdog is more likely to be doped, the impact of doping on overall performance, the influence of increased heterogeneity on doping, the welfare implications of doping, and possible prevention of doping.
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Paper provided by University of Bonn, Germany in its series Bonn Econ Discussion Papers with number
bgse14_2005.
Length: 37 Date of creation: May 2005 Date of revision: Handle: RePEc:bon:bonedp:bgse14_2005
Contact details of provider: Postal: Bonn Graduate School of Economics, University of Bonn, Adenauerallee 24 - 26, 53113 Bonn, Germany Fax: +49 228 73 9221 Web page: http://www.bgse.uni-bonn.de/index.php?id=494
For technical questions regarding this item, or to correct its listing, contact: (Daniel Park).
Matthias Kräkel, 2005.
"Doping in Contest-Like Situations,"
Discussion Papers
46, 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.
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Find related papers by JEL classification: J3 - Labor and Demographic Economics - - Wages, Compensation, and Labor Costs K42 - Law and Economics - - Legal Procedure, the Legal System, and Illegal Behavior - - - Illegal Behavior and the Enforcement of Law M5 - Business Administration and Business Economics; Marketing; Accounting - - Personnel Economics
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