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Deterrence in Rank-Order Tournaments

  • Curry Philip A.

    (Simon Fraser University)

  • Mongrain Steeve

    (Simon Fraser University)

In a tournament competitors may cheat to gain an advantage. This paper considers the problem of deterrence and finds that tournaments reflect special circumstances that are not present in a traditional model of law enforcement. The traditional model considers sanctions and monitoring as the instruments of deterrence. In a tournament the prize structure plays a critical role in determining both the costs and benefits to cheating. We consider ways in which the prize structure can be manipulated in order to reduce monitoring costs.

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Article provided by De Gruyter in its journal Review of Law & Economics.

Volume (Year): 5 (2009)
Issue (Month): 1 (December)
Pages: 723-740

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Handle: RePEc:bpj:rlecon:v:5:y:2009:i:1:n:30
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