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Group Contests with Internal Conflict and Power Asymmetry

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  • Jay Pil Choi
  • Subhasish M. Chowdhury
  • Jaesoo Kim

Abstract

We investigate situations in which players make costly contributions as group members in a group conflict, and at the same time engage in contest with fellow group members to appropriate the possible reward. We introduce within group power asymmetry and complementarity in members’ efforts, and analyze how each group’s internal conflict in-fluences its chance of winning in the external conflict. We find that a more symmetric group may expend more effort in external conflict when the (common) collective action technology exhibits a high degree of complementarity. Furthermore, depending on the degree of complementarity, the stronger player’s relative contribution to external conflict may be higher in a more asymmetric group and, as a result, it is possible for the weaker player to earn a higher payoff. In absence of any complementarity, the rent-dissipation is non-monotonic with the within-group power asymmetry.

Suggested Citation

  • Jay Pil Choi & Subhasish M. Chowdhury & Jaesoo Kim, 2014. "Group Contests with Internal Conflict and Power Asymmetry," CESifo Working Paper Series 5137, CESifo Group Munich.
  • Handle: RePEc:ces:ceswps:_5137
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    References listed on IDEAS

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    Cited by:

    1. repec:kap:pubcho:v:174:y:2018:i:3:d:10.1007_s11127-018-0506-8 is not listed on IDEAS
    2. Indraneel Dasgupta & Ranajoy Guha Neogi, 2018. "Between-group contests over group-specific public goods with within-group fragmentation," Public Choice, Springer, vol. 174(3), pages 315-334, March.

    More about this item

    Keywords

    conflict; collective action; group contest; asymmetry;

    JEL classification:

    • C72 - Mathematical and Quantitative Methods - - Game Theory and Bargaining Theory - - - Noncooperative Games
    • D72 - Microeconomics - - Analysis of Collective Decision-Making - - - Political Processes: Rent-seeking, Lobbying, Elections, Legislatures, and Voting Behavior
    • D74 - Microeconomics - - Analysis of Collective Decision-Making - - - Conflict; Conflict Resolution; Alliances; Revolutions
    • H41 - Public Economics - - Publicly Provided Goods - - - Public Goods

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