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Rent seeking in groups

  • Ahn, T.K.
  • Isaac, R. Mark
  • Salmon, Timothy C.

Rent-seeking contests between groups involve conflicts of interests at the levels of individuals, groups, and the society as a whole. We conduct a series of economic experiments to study the behavior of groups and individuals competing against each other in rent-seeking contests. We find substantial over-contribution to rent-seeking relative to the equilibrium predictions of standard models regardless whether individuals compete against other individuals, groups compete against other groups, or individuals compete against groups.

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File URL: http://www.sciencedirect.com/science/article/B6V8P-4Y70C1T-1/2/f99ccd5df1974f8586d9e0ac8ab2ea5c
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Article provided by Elsevier in its journal International Journal of Industrial Organization.

Volume (Year): 29 (2011)
Issue (Month): 1 (January)
Pages: 116-125

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Handle: RePEc:eee:indorg:v:29:y:2011:i:1:p:116-125
Contact details of provider: Web page: http://www.elsevier.com/locate/inca/505551

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