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Multi-Stage Sequential All-Pay Auctions

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  • Aner Sela

    (BGU)

  • Ella Segev

    (BGU)

Abstract

We study multi-stage sequential all-pay contests (auctions) where heterogeneous contestants are privately informed about a parameter (ability) that affects their cost of effort. We characterize the Perfect Baysian equilibrium of these multi-stage sequential all-pay contests and analyze the effect of the number of contestants, their types, and their order on the expected highest effort.

Suggested Citation

  • Aner Sela & Ella Segev, 2012. "Multi-Stage Sequential All-Pay Auctions," Working Papers 1211, Ben-Gurion University of the Negev, Department of Economics.
    • Handle: RePEc:bgu:wpaper:1211
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    References listed on IDEAS

    as
    1. Ella Segev & Aner Sela, 2014. "Sequential all-pay auctions with head starts," Social Choice and Welfare, Springer;The Society for Social Choice and Welfare, vol. 43(4), pages 893-923, December.
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    8. Segev, Ella & Sela, Aner, 2014. "Sequential all-pay auctions with noisy outputs," Journal of Mathematical Economics, Elsevier, vol. 50(C), pages 251-261.
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    12. Christian Groh & Benny Moldovanu & Aner Sela & Uwe Sunde, 2012. "Optimal seedings in elimination tournaments," Economic Theory, Springer;Society for the Advancement of Economic Theory (SAET), vol. 49(1), pages 59-80, January.
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    21. Qiang Fu & Jingfeng Lu, 2012. "The optimal multi-stage contest," Economic Theory, Springer;Society for the Advancement of Economic Theory (SAET), vol. 51(2), pages 351-382, October.
    22. Seel, Christian & Strack, Philipp, 2012. "Continuois Time Contests," Discussion Paper Series of SFB/TR 15 Governance and the Efficiency of Economic Systems 376, Free University of Berlin, Humboldt University of Berlin, University of Bonn, University of Mannheim, University of Munich.
    23. Krishna, Vijay & Morgan, John, 1997. "An Analysis of the War of Attrition and the All-Pay Auction," Journal of Economic Theory, Elsevier, vol. 72(2), pages 343-362, February.
    24. Richard L. Fullerton & R. Preston McAfee, 1999. "Auctioning Entry into Tournaments," Journal of Political Economy, University of Chicago Press, vol. 107(3), pages 573-605, June.
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    26. Ella Segev & Aner Sela, 2011. "Sequential All-Pay Auctions with Head Starts and Noisy Outputs," Working Papers 1106, Ben-Gurion University of the Negev, Department of Economics.
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    Cited by:

    1. Yizhaq Minchuk & Aner Sela, 2018. "Asymmetric sequential search under incomplete information," Journal of Economics & Management Strategy, Wiley Blackwell, vol. 27(2), pages 315-325, June.
    2. Jinhyuk Lee & Jaeok Park, 2016. "Second-price auctions with sequential and costly participation," Economic Theory, Springer;Society for the Advancement of Economic Theory (SAET), vol. 62(3), pages 567-586, August.
    3. Lu, Jingfeng & Lu, David, 2020. "Task arrangement in team competitions," Economics Letters, Elsevier, vol. 193(C).
    4. Enzo Brox & Daniel Goller, 2024. "Tournaments, Contestant Heterogeneity and Performance," Papers 2401.05210, arXiv.org.
    5. Nava Kahana & Doron Klunover, 2017. "Sequential Lottery Contests with Multiple Participants," Working Papers tax-mpg-rps-2017-02, Max Planck Institute for Tax Law and Public Finance.
    6. Levi-Tsedek, Netanel & Sela, Aner, 2019. "Sequential (one-against-all) contests," Economics Letters, Elsevier, vol. 175(C), pages 9-11.
    7. Chen Cohen & Ishay Rabi & Aner Sela, 2022. "Assortative Matching by Lottery Contests," Games, MDPI, vol. 13(5), pages 1-20, September.
    8. Tracy Xiao Liu, 2018. "All-pay auctions with endogenous bid timing: an experimental study," International Journal of Game Theory, Springer;Game Theory Society, vol. 47(1), pages 247-271, March.
    9. Segev, Ella, 2020. "Crowdsourcing contests," European Journal of Operational Research, Elsevier, vol. 281(2), pages 241-255.
    10. Chiappinelli, Olga, 2014. "An elimination contest with non-sunk bids," MPRA Paper 56140, University Library of Munich, Germany.
    11. Lian Jian & Zheng Li & Tracy Xiao Liu, 2017. "Simultaneous versus sequential all-pay auctions: an experimental study," Experimental Economics, Springer;Economic Science Association, vol. 20(3), pages 648-669, September.
    12. Serena, Marco, 2017. "Quality contests," European Journal of Political Economy, Elsevier, vol. 46(C), pages 15-25.

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    More about this item

    Keywords

    Sequential contests; Tullock contests; budget constrains.;
    All these keywords.

    JEL classification:

    • D44 - Microeconomics - - Market Structure, Pricing, and Design - - - Auctions
    • O31 - Economic Development, Innovation, Technological Change, and Growth - - Innovation; Research and Development; Technological Change; Intellectual Property Rights - - - Innovation and Invention: Processes and Incentives
    • O32 - Economic Development, Innovation, Technological Change, and Growth - - Innovation; Research and Development; Technological Change; Intellectual Property Rights - - - Management of Technological Innovation and R&D

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