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Winner's effort in multi-battle team contests

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  • Barbieri, Stefano
  • Serena, Marco

Abstract

In multi-battle team contests with pairwise battles, how battles are organized—sequentially or (partially) simultaneously—may affect the expected winner's total effort (WE), a natural objective in R&D races, elections, and sports. We focus on noise (modeled via the contest success function's discriminatory power) and across-team heterogeneity, abstracting from player-specific heterogeneity. With sufficient noise, we show that: (1) If teams are symmetric, all temporal structures yield the same WE; and (2) If teams are asymmetric, WE is maximized by a fully simultaneous contest and minimized by a fully sequential one. With no noise, we show that: (3) If teams are symmetric, WE is maximized by a fully sequential contest and minimized by a fully simultaneous one; and (4) If teams are asymmetric, neither the fully sequential nor the fully simultaneous temporal structures maximize or minimize WE. Our results use a novel technique that simplifies temporal structure comparisons: extractions and mergers.

Suggested Citation

  • Barbieri, Stefano & Serena, Marco, 2024. "Winner's effort in multi-battle team contests," Games and Economic Behavior, Elsevier, vol. 145(C), pages 526-556.
  • Handle: RePEc:eee:gamebe:v:145:y:2024:i:c:p:526-556
    DOI: 10.1016/j.geb.2024.04.006
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    More about this item

    Keywords

    Team contest; Winner's effort; Temporal structures; Team-asymmetry effect; Stochastic-effort effect;
    All these keywords.

    JEL classification:

    • C72 - Mathematical and Quantitative Methods - - Game Theory and Bargaining Theory - - - Noncooperative Games
    • D72 - Microeconomics - - Analysis of Collective Decision-Making - - - Political Processes: Rent-seeking, Lobbying, Elections, Legislatures, and Voting Behavior
    • D74 - Microeconomics - - Analysis of Collective Decision-Making - - - Conflict; Conflict Resolution; Alliances; Revolutions
    • D82 - Microeconomics - - Information, Knowledge, and Uncertainty - - - Asymmetric and Private Information; Mechanism Design

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