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Assortative Matching Contests

Author

Listed:
  • Chen Cohen

    (BGU)

  • Ishay Rabi

    (BGU)

  • Aner Sela

    (BGU)

Abstract

We study two-sided matching contests with two sets, A and B, each of which includes a finite number of heterogeneous agents with commonly known types. The agents in each set compete in Tullock contests where they simultaneously send their costly efforts, and then are assortatively matched, namely, the winner of set A is matched with the winner of set B and so on until all the agents in the set with the smaller number of agents are matched. We analyze the agents' equilibrium efforts for which an agent's match-value is either a multiplicative or an additive function of the types who are matched. We demonstrate that whether or not both sets have the same number of agents might have a critical effect on their equilibrium efforts. In particular, a little change in the size of one of the sets might have a radical effect on the agents' equilibrium efforts.
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Suggested Citation

  • Chen Cohen & Ishay Rabi & Aner Sela, 2020. "Assortative Matching Contests," Working Papers 2004, Ben-Gurion University of the Negev, Department of Economics.
  • Handle: RePEc:bgu:wpaper:2004
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    File URL: http://in.bgu.ac.il/en/humsos/Econ/Workingpapers/2004.pdf
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    References listed on IDEAS

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    Cited by:

    1. Sela, Aner, 2020. "Two-Stage Matching Contests," CEPR Discussion Papers 14610, C.E.P.R. Discussion Papers.
    2. Aner Sela, 2023. "All-pay matching contests," International Journal of Game Theory, Springer;Game Theory Society, vol. 52(2), pages 587-606, June.

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    More about this item

    Keywords

    Two-sided matching; Tullock contest;

    JEL classification:

    • D44 - Microeconomics - - Market Structure, Pricing, and Design - - - Auctions
    • J31 - Labor and Demographic Economics - - Wages, Compensation, and Labor Costs - - - Wage Level and Structure; Wage Differentials
    • D72 - Microeconomics - - Analysis of Collective Decision-Making - - - Political Processes: Rent-seeking, Lobbying, Elections, Legislatures, and Voting Behavior
    • D82 - Microeconomics - - Information, Knowledge, and Uncertainty - - - Asymmetric and Private Information; Mechanism Design

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