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Rent-Seeking with Multiple Winners

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  • Berry, S Keith

Abstract

This paper examines the impact of the number of winners allowed by regulators on rent-seeking expenditures. It is demonstrated in a widely used model that an increase in the number of winners will decrease total rent-seeking expenditures. This result is generally obtained regardless of whether the firms are risk-averse or risk-lovers. When regulators award coveted market franchises, there will be smaller welfare losses if more winners are allowed. Copyright 1993 by Kluwer Academic Publishers

Suggested Citation

  • Berry, S Keith, 1993. "Rent-Seeking with Multiple Winners," Public Choice, Springer, vol. 77(2), pages 437-443, October.
    • Handle: RePEc:kap:pubcho:v:77:y:1993:i:2:p:437-43
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