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Information in Conflicts

Author

Listed:
  • Wärneryd, Karl

    (Dept. of Economics, Stockholm School of Economics)

Abstract

We consider a two-player contest for a prize of common but uncertain value. We show that less resources are spent in equilibrium if one party is privately informed about the value of the prize than if either both agents are informed or neither agent is informed. Furthermore, the uninformed agent is ex ante strictly more likely to win the prize than is the informed agent.

Suggested Citation

  • Wärneryd, Karl, 2000. "Information in Conflicts," SSE/EFI Working Paper Series in Economics and Finance 388, Stockholm School of Economics.
    • Handle: RePEc:hhs:hastef:0388
    as

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    References listed on IDEAS

    as
    1. Tullock, Gordon, 1975. "On the Efficient Organization of Trials," Kyklos, Wiley Blackwell, vol. 28(4), pages 745-762.
    2. Warneryd, Karl, 1998. "Distributional conflict and jurisdictional organization," Journal of Public Economics, Elsevier, vol. 69(3), pages 435-450, September.
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    8. Gordon Tullock, 1975. "On The Efficient Organization Of Trials," Kyklos, Wiley Blackwell, vol. 28(4), pages 745-762, November.
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    Full references (including those not matched with items on IDEAS)

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    More about this item

    Keywords

    Conflict; contest; asymmetric information; all-pay auction.;
    All these keywords.

    JEL classification:

    • C72 - Mathematical and Quantitative Methods - - Game Theory and Bargaining Theory - - - Noncooperative Games
    • D44 - Microeconomics - - Market Structure, Pricing, and Design - - - Auctions
    • D72 - Microeconomics - - Analysis of Collective Decision-Making - - - Political Processes: Rent-seeking, Lobbying, Elections, Legislatures, and Voting Behavior
    • D82 - Microeconomics - - Information, Knowledge, and Uncertainty - - - Asymmetric and Private Information; Mechanism Design

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