Scandinavian Working Papers in Economics

SSE Working Paper Series in Economics,
Stockholm School of Economics

No 2017:2: Self-Allocation in Contests

Axel Bernergård () and Karl Wärneryd ()
Additional contact information
Axel Bernergård: Department of Social Sciences, Postal: Södertörn University, SE–141 89 Huddinge, Sweden
Karl Wärneryd: Dept. of Economics, Postal: Stockholm School of Economics, P.O. Box 6501, SE-113 83 Stockholm, Sweden

Abstract: We consider contestants who must choose exactly one contest, out of several, to participate in. We show that when the contest technology is of a certain type, or when the number of contestants is large, a self-allocation equilibrium, i.e., one where no contestant would wish to change his choice of contest, results in the allocation of players to contests that maximizes aggregate equilibrium effort. For a class of oligopoly models that are equivalent to contests, this implies output maximization.

Keywords: Contests; self-allocation; effort maximization; quantity competition.

JEL-codes: C72; D43; D44; D72; D74; L13

20 pages, August 27, 2017

Full text files

hastec2017_002.pdf PDF-file Full text

Download statistics

Questions (including download problems) about the papers in this series should be directed to Helena Lundin ()
Report other problems with accessing this service to Sune Karlsson ().

This page generated on 2018-03-27 10:15:37.