Sequential Contests with Synergy and Budget Constraints
We study a sequential Tullock contest with two stages and two identical prizes. The players compete for one prize in each stage and each player may win either one or two prizes. The players have either decreasing or increasing marginal values for the prizes, which are commonly known, and there is a constraint on the total effort that each player can exert in both stages. We analyze the players' allocations of efforts along both stages when the budget constraints (effort constraints) are either restrictive, nonrestrictive or partially restrictive. We show that when the players are either symmetric or asymmetric and the budget constraints are restrictive, independent of the players' values for the prizes, each player allocates his effort equally along both stages of the contest.
|Date of creation:||May 2011|
|Date of revision:|
|Contact details of provider:|| Postal: Centre for Economic Policy Research, 77 Bastwick Street, London EC1V 3PZ.|
Phone: 44 - 20 - 7183 8801
Fax: 44 - 20 - 7183 8820
|Order Information:|| Email: |
References listed on IDEAS
Please report citation or reference errors to , or , if you are the registered author of the cited work, log in to your RePEc Author Service profile, click on "citations" and make appropriate adjustments.:
- Sandro Brusco & Giuseppe Lopomo, 2009. "Simultaneous ascending auctions with complementarities and known budget constraints," Economic Theory, Springer, vol. 38(1), pages 105-124, January.
- Konrad, Kai A., 2003.
"Bidding in hierarchies
[Das Bieten in Hierarchien]," Discussion Papers, Research Unit: Market Processes and Governance SP II 2003-27, Social Science Research Center Berlin (WZB).
- Warneryd, Karl, 1998.
"Distributional conflict and jurisdictional organization,"
Journal of Public Economics,
Elsevier, vol. 69(3), pages 435-450, September.
- Wärneryd, Karl, 1997. "Distributional Conflict and Jurisdictional Organization," SSE/EFI Working Paper Series in Economics and Finance 173, Stockholm School of Economics.
- Dan Kovenock & Brian Roberson, 2009.
"Is the 50-State Strategy Optimal?,"
Journal of Theoretical Politics,
, vol. 21(2), pages 213-236, April.
- Kovenock, Dan & Roberson, Brian, 2008.
"Is the 50-state strategy optimal?
[Ist die 50-Staaten-Strategie optimal?]," Discussion Papers, Research Unit: Market Processes and Governance SP II 2008-16, Social Science Research Center Berlin (WZB).
- Dan Kovenock & Brian Roberson, 2008. "Is the 50-State Strategy Optimal?," Purdue University Economics Working Papers 1211, Purdue University, Department of Economics.
- Kovenock, Dan & Roberson, Brian, 2008. "Is the 50-state strategy optimal?
- Gavious, Arieh & Moldovanu, Benny & Sela, Aner, 2000.
"Bid Costs and Endogenous Bid Caps,"
Sonderforschungsbereich 504 Publications
01-19, Sonderforschungsbereich 504, Universität Mannheim;Sonderforschungsbereich 504, University of Mannheim.
- Pitchik, Carolyn, 2009.
"Budget-constrained sequential auctions with incomplete information,"
Games and Economic Behavior,
Elsevier, vol. 66(2), pages 928-949, July.
- Carolyn Pitchik, 2006. "Budget-Constrained Sequential Auctions with Incomplete Information," Working Papers tecipa-230, University of Toronto, Department of Economics.
- Carolyn Pitchik, 1989. "Budget-Constrained Sequential Auctions With Incomplete Information," STICERD - Theoretical Economics Paper Series 201, Suntory and Toyota International Centres for Economics and Related Disciplines, LSE.
- Carolyn Pitchik, 2008. "Budget-Constrained Sequential Auctions with Incomplete Information," Working Papers tecipa-342, University of Toronto, Department of Economics.
- Pitchik, Carolyn & Schotter, Andrew, 1986. "Budget Constrained Sequential Auctions," Working Papers 86-21, C.V. Starr Center for Applied Economics, New York University.
- Che, Yeon-Koo & Gale, Ian L, 1998.
"Caps on Political Lobbying,"
American Economic Review,
American Economic Association, vol. 88(3), pages 643-51, June.
- Rick Harbaugh & Tilman Klumpp, 2005.
"Early Round Upsets and Championship Blowouts,"
Western Economic Association International, vol. 43(2), pages 316-329, April.
- Che, Yeon-Koo & Gale, Ian, 1997. " Rent Dissipation When Rent Seekers Are Budget Constrained," Public Choice, Springer, vol. 92(1-2), pages 109-26, July.
- J. Atsu Amegashie & C. Bram Cadsby & Yang Song, 2005.
"Competitive Burnout: Theory and Experimental Evidence,"
0507, University of Guelph, Department of Economics and Finance.
- Amegashie, J. Atsu & Cadsby, C. Bram & Song, Yang, 2007. "Competitive burnout: Theory and experimental evidence," Games and Economic Behavior, Elsevier, vol. 59(2), pages 213-239, May.
- Morgan, John, 2003. " Sequential Contests," Public Choice, Springer, vol. 116(1-2), pages 1-18, July.
- Sandro Brusco & Giuseppe Lopomo, 2008. "BUDGET CONSTRAINTS AND DEMAND REDUCTION IN SIMULTANEOUS ASCENDING-BID AUCTIONS -super-* ," Journal of Industrial Economics, Wiley Blackwell, vol. 56(1), pages 113-142, 03.
- repec:oup:restud:v:68:y:2001:i:1:p:155-79 is not listed on IDEAS
- Alexander Matros, 2006. "Elimination Tournaments where Players Have Fixed Resources," Working Papers 205, University of Pittsburgh, Department of Economics, revised Jan 2006.
- Alex Robson, 2005. "Multi-Item Contests," ANU Working Papers in Economics and Econometrics 2005-446, Australian National University, College of Business and Economics, School of Economics.
- Klumpp, Tilman & Polborn, Mattias K., 2006. "Primaries and the New Hampshire Effect," Journal of Public Economics, Elsevier, vol. 90(6-7), pages 1073-1114, August.
When requesting a correction, please mention this item's handle: RePEc:cpr:ceprdp:8383. 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: ()The email address of this maintainer does not seem to be valid anymore. Please ask to update the entry or send us the correct email address
If references are entirely missing, you can add them using this form.