Scandinavian Working Papers in Economics
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The Economic Research Institute, Stockholm School of Economics SSE/EFI Working Paper Series in Economics and Finance

No 746:
Accuracy in Contests: Players' Perspective

Mustafa YILDIRIM ()

Abstract: We propose a political theory for the slow adoption of technology in sports and other contests. We investigate players’preferences for new technology that improves contest accuracy. Modeling accuracy as the elasticity of "production" in a standard Tullock contest, we show that players may be against higher accuracy if heterogeneity among them is:(1) sufficiently low; (2) moderate but the initial accuracy is low; or (3) high but the initial accuracy is high. We apply our results to the recent adoption of goal-line technology by major European soccer leagues.

Keywords: contest accuracy; politics; slow technology adoption; goal-line technology; (follow links to similar papers)

JEL-Codes: C72; D44; D72; (follow links to similar papers)

30 pages, September 23, 2013, Revised September 24, 2013

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