Designing contests between heterogeneous contestants: an experimental study of tie-breaks and bid-caps in all-pay auctions

Llorente-Saguer, Aniol; Sheremeta, Roman M.; Szech, Nora

[working paper]

dc.contributor.author	Llorente-Saguer, Aniol	de
dc.contributor.author	Sheremeta, Roman M.	de
dc.contributor.author	Szech, Nora	de
dc.date.accessioned	2019-11-27T08:07:26Z
dc.date.available	2019-11-27T08:07:26Z
dc.date.issued	2016	de
dc.identifier.uri	https://www.ssoar.info/ssoar/handle/document/65591
dc.description.abstract	A well-known theoretical result in the contest literature is that greater heterogeneity decreases performance of contestants because of the "discouragement effect." Leveling the playing field by favoring weaker contestants through bid-caps and favorable tie-breaking rules can reduce the discouragement effect and increase the designer's revenue. We test these predictions in an experiment. Our data show that indeed, strengthening weaker contestants through tie-breaks and bid-caps significantly diminishes the discouragement effect. Bid-caps can also improve revenue. Most deviations from Nash equilibrium can be explained by the level-k model of reasoning.	de
dc.language	en	de
dc.subject.ddc	Psychologie	de
dc.subject.ddc	Psychology	en
dc.subject.other	all-pay auction; bid-caps; contest design; rent-seeking; tie-breaks	de
dc.title	Designing contests between heterogeneous contestants: an experimental study of tie-breaks and bid-caps in all-pay auctions	de
dc.description.review	begutachtet	de
dc.description.review	reviewed	en
dc.source.volume	SP II 2016-307	de
dc.publisher.country	DEU
dc.publisher.city	Berlin	de
dc.source.series	Discussion Papers / Wissenschaftszentrum Berlin für Sozialforschung, Forschungsschwerpunkt Markt und Entscheidung, Abteilung Ökonomik des Wandels
dc.subject.classoz	Sozialpsychologie	de
dc.subject.classoz	Social Psychology	en
dc.subject.thesoz	Auktion	de
dc.subject.thesoz	auction	en
dc.subject.thesoz	Teilnehmer	de
dc.subject.thesoz	participant	en
dc.subject.thesoz	Wettkampf	de
dc.subject.thesoz	match	en
dc.subject.thesoz	Motivation	de
dc.subject.thesoz	motivation	en
dc.subject.thesoz	Verhalten	de
dc.subject.thesoz	behavior	en
dc.subject.thesoz	Spieltheorie	de
dc.subject.thesoz	game theory	en
dc.rights.licence	Deposit Licence - Keine Weiterverbreitung, keine Bearbeitung	de
dc.rights.licence	Deposit Licence - No Redistribution, No Modifications	en
ssoar.contributor.institution	WZB	de
internal.status	formal und inhaltlich fertig erschlossen	de
internal.identifier.thesoz	10068068
internal.identifier.thesoz	10060100
internal.identifier.thesoz	10062295
internal.identifier.thesoz	10036462
internal.identifier.thesoz	10034530
internal.identifier.thesoz	10058607
dc.type.stock	monograph	de
dc.type.document	Arbeitspapier	de
dc.type.document	working paper	en
dc.source.pageinfo	32	de
internal.identifier.classoz	10706
internal.identifier.document	3
dc.contributor.corporateeditor	Wissenschaftszentrum Berlin für Sozialforschung gGmbH
internal.identifier.corporateeditor	381
internal.identifier.ddc	150
dc.description.pubstatus	Veröffentlichungsversion	de
dc.description.pubstatus	Published Version	en
internal.identifier.licence	3
internal.identifier.pubstatus	1
internal.identifier.review	2
internal.identifier.series	920
internal.dda.reference	https://www.econstor.eu/oai/request@@oai:econstor.eu:10419/141440
dc.identifier.handle	https://hdl.handle.net/10419/141440
ssoar.urn.registration	false	de

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Sozialpsychologie
Social Psychology

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