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Within-Team Competition In The Minimum Effort Coordination Game

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  • Enrique Fatas
  • Tibor Neugebauer
  • Javier Perote

Abstract

We report the results of an experiment on a continuous version of the minimum effort coordination game. The introduction of within-team competition significantly increases effort levels relative to a baseline with no competition and increases coordination relative to a secure treatment where the pay-off-dominant equilibrium strategy weakly dominates all other actions. Nonetheless, within-team competition does not prevent subjects from polarizing both in the efficient and the inefficient equilibria. Copyright 2006 Blackwell Publishing Ltd

Suggested Citation

  • Enrique Fatas & Tibor Neugebauer & Javier Perote, 2006. "Within-Team Competition In The Minimum Effort Coordination Game," Pacific Economic Review, Wiley Blackwell, vol. 11(2), pages 247-266, June.
  • Handle: RePEc:bla:pacecr:v:11:y:2006:i:2:p:247-266
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    Cited by:

    1. Jordi Brandts & David Cooper & Enrique Fatas, 2007. "Leadership and overcoming coordination failure with asymmetric costs," Experimental Economics, Springer;Economic Science Association, vol. 10(3), pages 269-284, September.
    2. Fabrice Le Lec & Astrid Matthey & Ondrej Rydval, 2012. "Punishment Fosters Efficiency in the Minimum Effort Coordination Game," Jena Economic Research Papers 2012-030, Friedrich-Schiller-University Jena.
    3. Bortolotti, Stefania & Devetag, Giovanna & Ortmann, Andreas, 2016. "Group incentives or individual incentives? A real-effort weak-link experiment," Journal of Economic Psychology, Elsevier, vol. 56(C), pages 60-73.
    4. Sebastian J. Goerg & Tibor Neugebauer & Abdolkarim Sadrieh, 2016. "Impulse Response Dynamics in Weakest Link Games," German Economic Review, Verein für Socialpolitik, vol. 17(3), pages 284-297, August.
    5. Rachel Croson & Enrique Fatas & Tibor Neugebauer, 2006. "An Experimental Analysis Of Conditional Cooperation," Working Papers. Serie AD 2006-24, Instituto Valenciano de Investigaciones Económicas, S.A. (Ivie).
    6. Stephan Schosser & Bodo Vogt, 2015. "Do hormones impact behavior in the minimum effort game? - An experimental investigation of human behavior during the weakest link game after the administration of vasopressin -," FEMM Working Papers 150011, Otto-von-Guericke University Magdeburg, Faculty of Economics and Management.
    7. Gunnthorsdottir, Anna & Vragov, Roumen & Seifert, Stefan & McCabe, Kevin, 2010. "Near-efficient equilibria in contribution-based competitive grouping," Journal of Public Economics, Elsevier, vol. 94(11-12), pages 987-994, December.
    8. Casagrande, Alberto & Cagno, Daniela Di & Pandimiglio, Alessandro & Spallone, Marco, 2015. "The effect of competition on tax compliance: The role of audit rules and shame," Journal of Behavioral and Experimental Economics (formerly The Journal of Socio-Economics), Elsevier, vol. 59(C), pages 96-110.
    9. Fabrice Le Lec & Ondrej Rydval & Astrid Matthey, 2014. "Efficiency and Punishment in a Coordination Game: Voluntary Sanctions in the Minimum Effort Game," CERGE-EI Working Papers wp526, The Center for Economic Research and Graduate Education - Economics Institute, Prague.
    10. Croson, Rachel & Fatas, Enrique & Neugebauer, Tibor & Morales, Antonio J., 2015. "Excludability: A laboratory study on forced ranking in team production," Journal of Economic Behavior & Organization, Elsevier, vol. 114(C), pages 13-26.
    11. Gunnthorsdottir, Anna & Vragov, Roumen & seifert, Stefan & McCabe, Kevin, 2008. "on the efficiency of team-based meritocracies," MPRA Paper 8627, University Library of Munich, Germany.

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    JEL classification:

    • C91 - Mathematical and Quantitative Methods - - Design of Experiments - - - Laboratory, Individual Behavior

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