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The optimal sorting of players in contests between groups

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  • Ryvkin, Dmitry

Abstract

We study how aggregate effort exerted in contests between groups of heterogeneous players depends on the sorting of players into groups. We show that the optimal sorting depends on the curvature of the effort cost function. From the perspective of a contest organizer whose objective is to maximize aggregate effort, it is optimal to sort players in a way that minimizes the variation in ability across groups if the effort cost function is moderately steep. However, for a sufficiently steep effort cost function, the optimal sorting of players may be the one that maximizes the variation in ability across groups.

Suggested Citation

  • Ryvkin, Dmitry, 2011. "The optimal sorting of players in contests between groups," Games and Economic Behavior, Elsevier, vol. 73(2), pages 564-572.
  • Handle: RePEc:eee:gamebe:v:73:y:2011:i:2:p:564-572
    DOI: 10.1016/j.geb.2011.03.002
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    More about this item

    Keywords

    Tournament design; Sorting; Contest; Groups; Heterogeneous players;
    All these keywords.

    JEL classification:

    • D72 - Microeconomics - - Analysis of Collective Decision-Making - - - Political Processes: Rent-seeking, Lobbying, Elections, Legislatures, and Voting Behavior
    • C72 - Mathematical and Quantitative Methods - - Game Theory and Bargaining Theory - - - Noncooperative Games
    • C02 - Mathematical and Quantitative Methods - - General - - - Mathematical Economics

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