IDEAS home Printed from https://ideas.repec.org/
MyIDEAS: Login to save this article or follow this journal

A Model of a General Parimutuel System: Characterizations and Equilibrium Selection

  • Watanabe, Takahiro
  • Nonoyama, Hideyuki
  • Mori, Masao

We formulate a model of a parimutuel system which considers a horse race with two horses. In our model, the raceholder offers a rate of his total betting revenue in the first stage. In the second stage each bettor simultaneously decides whether he bets one unit of money on one horse or he withdraws, according to his win predictions for each horse. We assume that all bettor's predictions are different and are common knowledge. We define some types of equilibria in the second stage game and give necessary and sufficient conditions for their existence. One equilibrium is a selected as a solution for the second stage game. We also define a solution for the whole game by using this result. Finally, we analyze the relation between the solution and variance for the bettor predictions.

To our knowledge, this item is not available for download. To find whether it is available, there are three options:
1. Check below under "Related research" whether another version of this item is available online.
2. Check on the provider's web page whether it is in fact available.
3. Perform a search for a similarly titled item that would be available.

Article provided by Springer in its journal International Journal of Game Theory.

Volume (Year): 23 (1994)
Issue (Month): 3 ()
Pages: 237-60

as
in new window

Handle: RePEc:spr:jogath:v:23:y:1994:i:3:p:237-60
Contact details of provider: Web page: http://link.springer.de/link/service/journals/00182/index.htm

Order Information: Web: http://link.springer.de/orders.htm

No references listed on IDEAS
You can help add them by filling out this form.

This item is not listed on Wikipedia, on a reading list or among the top items on IDEAS.

When requesting a correction, please mention this item's handle: RePEc:spr:jogath:v:23:y:1994:i:3:p:237-60. See general information about how to correct material in RePEc.

For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: (Sonal Shukla)

or (Christopher F Baum)

If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

If references are entirely missing, you can add them using this form.

If the full references list an item that is present in RePEc, but the system did not link to it, you can help with this form.

If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your profile, as there may be some citations waiting for confirmation.

Please note that corrections may take a couple of weeks to filter through the various RePEc services.

This information is provided to you by IDEAS at the Research Division of the Federal Reserve Bank of St. Louis using RePEc data.