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Sabotaging Potential Rivals

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  • J. Atsu Amegashie
  • Marco Runkel

Abstract

This paper studies sabotage in a contest with non-identical players. Unlike previous papers, we consider sabotage in an elimination contest and allow contestants to sabotage a potential or future rival. It turns out that for a certain partition of players there is a pure-strategy equilibrium in which only the most able contestant engages in sabotage while less able contestants do not. The most able contestant may therefore prefer a situation where sabotage is allowed to one where sabotage is not allowed. For another partition of players, there is a unique equilibrium in which none of the players invests in sabotage.

Suggested Citation

  • J. Atsu Amegashie & Marco Runkel, 2005. "Sabotaging Potential Rivals," CESifo Working Paper Series 1500, CESifo.
  • Handle: RePEc:ces:ceswps:_1500
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    References listed on IDEAS

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    Cited by:

    1. Derek Clark & Øystein Foros & Jan Sand, 2011. "Foreclosure in contests," Public Choice, Springer, vol. 148(1), pages 215-232, July.
    2. Gürtler, Oliver & Münster, Johannes, 2013. "Rational self-sabotage," Mathematical Social Sciences, Elsevier, vol. 65(1), pages 1-4.
    3. Amegashie, J. Atsu, 2019. "Quantity-cum-quality contests," European Journal of Political Economy, Elsevier, vol. 58(C), pages 289-297.
    4. Maria Arbatskaya & Hugo M. Mialon, 2012. "Dynamic Multi‐Activity Contests," Scandinavian Journal of Economics, Wiley Blackwell, vol. 114(2), pages 520-538, June.
    5. Raphaël Soubeyran, 2009. "Contest with attack and defense: does negative campaigning increase or decrease voter turnout?," Social Choice and Welfare, Springer;The Society for Social Choice and Welfare, vol. 32(3), pages 337-353, March.
    6. Brown, Alasdair & Chowdhury, Subhasish M., 2017. "The hidden perils of affirmative action: Sabotage in handicap contests," Journal of Economic Behavior & Organization, Elsevier, vol. 133(C), pages 273-284.
    7. Aner Sela, 2022. "Ineffective Prizes In Multi-Dimensional Contests," Working Papers 2205, Ben-Gurion University of the Negev, Department of Economics.
    8. Kjell Hausken, 2020. "Additive multi-effort contests," Theory and Decision, Springer, vol. 89(2), pages 203-248, September.
    9. Kjell Hausken, 2021. "Axiomatizing additive multi-effort contests," SN Business & Economics, Springer, vol. 1(11), pages 1-12, November.
    10. Hirata, Daisuke, 2014. "A model of a two-stage all-pay auction," Mathematical Social Sciences, Elsevier, vol. 68(C), pages 5-13.
    11. Subhasish Chowdhury & Oliver Gürtler, 2015. "Sabotage in contests: a survey," Public Choice, Springer, vol. 164(1), pages 135-155, July.
    12. Luo, Zijun & Xie, Xin, 2018. "A Model Of rivalries with endogenous prize and strength," Journal of Economic Behavior & Organization, Elsevier, vol. 152(C), pages 215-223.
    13. Subhasish M. Chowdhury & Anastasia Danilov & Martin G. Kocher, 2023. "The Lifecycle of Affirmative Action Policies and Its Effect on Effort and Sabotage Behavior," Rationality and Competition Discussion Paper Series 401, CRC TRR 190 Rationality and Competition.
    14. Jörg Franke, 2014. "Equal, proportional, and mixed sharing of cooperative production under the threat of sabotage," Journal of Economics, Springer, vol. 113(3), pages 253-273, November.
    15. Doron Klunover, 2020. "Nice guys don't always finish last: succeeding in hierarchical organizations," Papers 2007.04435, arXiv.org, revised Sep 2020.
    16. Andrzej Kwiatkowski, 2010. "Non-cooperative incentives to share knowledge in competitive environments," Dundee Discussion Papers in Economics 243, Economic Studies, University of Dundee.
    17. Danilov, Anastasia & Harbring, Christine & Irlenbusch, Bernd, 2019. "Helping under a combination of team and tournament incentives," Journal of Economic Behavior & Organization, Elsevier, vol. 162(C), pages 120-135.
    18. Amegashie, J. Atsu, 2012. "Productive versus destructive efforts in contests," European Journal of Political Economy, Elsevier, vol. 28(4), pages 461-468.
    19. Klunover, Doron, 2021. "When sabotage fails," Mathematical Social Sciences, Elsevier, vol. 113(C), pages 164-168.
    20. Kräkel, Matthias & Schöttner, Anja, 2010. "Technology choice, relative performance pay, and worker heterogeneity," Journal of Economic Behavior & Organization, Elsevier, vol. 76(3), pages 748-758, December.
    21. Maria Arbatskaya & Hugo Mialon, 2010. "Multi-activity contests," Economic Theory, Springer;Society for the Advancement of Economic Theory (SAET), vol. 43(1), pages 23-43, April.
    22. J. Atsu Amegashie, 2013. "Sabotage in Contests: An Overview," CESifo Working Paper Series 4422, CESifo.
    23. Hausken, Kjell, 2016. "Axiomatization of Group Contest Success Functions," UiS Working Papers in Economics and Finance 2016/8, University of Stavanger.
    24. Kräkel, Matthias & Schöttner, Anja, 2010. "Technology Choice and Incentives under Relative Performance Schemes," Bonn Econ Discussion Papers 10/2010, University of Bonn, Bonn Graduate School of Economics (BGSE).

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    More about this item

    Keywords

    all-pay auction; elimination contests; potential rival; sabotage;
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