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When pressure sinks performance: evidence from diving competitions

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  • Garbi, Elni
  • Genakos, Christos
  • Pagliero, Mario

Abstract

Tournaments are designed to enhance participants’ effort and productivity. However, ranking near the top may increase psychological pressure and reduce performance. We empirically study the impact of interim rank on performance using data from international diving tournaments. We find that competitors systematically underperform when ranked closer to the top, despite higher incentives to perform well.

Suggested Citation

  • Garbi, Elni & Genakos, Christos & Pagliero, Mario, 2015. "When pressure sinks performance: evidence from diving competitions," LSE Research Online Documents on Economics 61700, London School of Economics and Political Science, LSE Library.
    • Handle: RePEc:ehl:lserod:61700
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    References listed on IDEAS

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    1. Jose Apesteguia & Ignacio Palacios-Huerta, 2010. "Psychological Pressure in Competitive Environments: Evidence from a Randomized Natural Experiment," American Economic Review, American Economic Association, vol. 100(5), pages 2548-2564, December.
    2. Dohmen, Thomas J., 2008. "Do professionals choke under pressure?," Journal of Economic Behavior & Organization, Elsevier, vol. 65(3-4), pages 636-653, March.
    3. Dan Ariely & Uri Gneezy & George Loewenstein & Nina Mazar, 2009. "Large Stakes and Big Mistakes," The Review of Economic Studies, Review of Economic Studies Ltd, vol. 76(2), pages 451-469.
    4. Christos Genakos & Mario Pagliero, 2012. "Interim Rank, Risk Taking, and Performance in Dynamic Tournaments," Journal of Political Economy, University of Chicago Press, vol. 120(4), pages 782-813.
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    Citations

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    Cited by:

    1. González-Díaz, Julio & Palacios-Huerta, Ignacio, 2016. "Cognitive performance in competitive environments: Evidence from a natural experiment," Journal of Public Economics, Elsevier, vol. 139(C), pages 40-52.
    2. Dainis Zegners & Uwe Sunde & Anthony Strittmatter, 2020. "Decisions and Performance Under Bounded Rationality: A Computational Benchmarking Approach," CESifo Working Paper Series 8341, CESifo.
    3. Daniel C. Hickman & Craig Kerr & Neil Metz, 2019. "Rank and Performance in Dynamic Tournaments: Evidence From the PGA Tour," Journal of Sports Economics, , vol. 20(4), pages 509-534, May.
    4. Bar-Eli, Michael & Krumer, Alex & Morgulev, Elia, 2020. "Ask not what economics can do for sports - Ask what sports can do for economics," Journal of Behavioral and Experimental Economics (formerly The Journal of Socio-Economics), Elsevier, vol. 89(C).
    5. Alex Krumer & Felix Otto & Tim Pawlowski, 2022. "Nationalistic bias among international experts: evidence from professional ski jumping," Scandinavian Journal of Economics, Wiley Blackwell, vol. 124(1), pages 278-300, January.
    6. Harb-Wu, Ken & Krumer, Alex, 2019. "Choking under pressure in front of a supportive audience: Evidence from professional biathlon," Journal of Economic Behavior & Organization, Elsevier, vol. 166(C), pages 246-262.
    7. Cohen-Zada, Danny & Krumer, Alex & Shapir, Offer Moshe, 2017. "Take a Chance on ABBA," IZA Discussion Papers 10878, Institute of Labor Economics (IZA).
    8. Jamie Emerson & Brian Hill, 2024. "Interim rank and risk-taking: Evidence from long jump competitions," Economics Bulletin, AccessEcon, vol. 44(1), pages 99-111.
    9. Cohen-Zada, Danny & Krumer, Alex & Shapir, Offer Moshe, 2018. "Testing the effect of serve order in tennis tiebreak," Journal of Economic Behavior & Organization, Elsevier, vol. 146(C), pages 106-115.
    10. Tom P. Vandebroek & Brian T. McCann & Govert Vroom, 2018. "Modeling the Effects of Psychological Pressure on First-Mover Advantage in Competitive Interactions," Journal of Sports Economics, , vol. 19(5), pages 725-754, June.
    11. Xu, Minbo & Wang, Oliver, 2023. "Psychological pressure and performance in competitive environments: The first-hole effect in youth golf," Economics Letters, Elsevier, vol. 224(C).
    12. Graff, Frederik & Grund, Christian & Harbring, Christine, 2021. "Competing on the Holodeck - The effect of virtual peers and heterogeneity in dynamic tournaments," Journal of Behavioral and Experimental Economics (formerly The Journal of Socio-Economics), Elsevier, vol. 90(C).
    13. Bernd Frick, 2021. "Gender Differences in Risk-Taking and Sensation-Seeking Behavior: Empirical Evidence from “ExtremeSports”," De Economist, Springer, vol. 169(1), pages 5-20, February.
    14. Hendrik Sonnabend, 2020. "On discouraging environments in team contests: Evidence from top‐level beach volleyball," Managerial and Decision Economics, John Wiley & Sons, Ltd., vol. 41(6), pages 986-997, September.
    15. Krumer, Alex & Lechner, Michael, 2017. "First in first win: Evidence on schedule effects in round-robin tournaments in mega-events," European Economic Review, Elsevier, vol. 100(C), pages 412-427.
    16. Iqbal, Hamzah & Krumer, Alex, 2017. "Discouragement Effect and Intermediate Prizes in Multi-Stage Contests: Evidence from Tennis’s Davis Cup," Economics Working Paper Series 1719, University of St. Gallen, School of Economics and Political Science.
    17. Wen‐Jhan Jane, 2022. "Choking or excelling under pressure: Evidence of the causal effect of audience size on performance," Bulletin of Economic Research, Wiley Blackwell, vol. 74(1), pages 329-357, January.
    18. Krumer, Alex & Lechner, Michael, 2016. "First In First Win: Evidence on Unfairness of Round-Robin Tournaments in Mega-Events," Economics Working Paper Series 1611, University of St. Gallen, School of Economics and Political Science.
    19. Iqbal, Hamzah & Krumer, Alex, 2019. "Discouragement effect and intermediate prizes in multi-stage contests: Evidence from Davis Cup," European Economic Review, Elsevier, vol. 118(C), pages 364-381.

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    More about this item

    Keywords

    Tournaments; incentives; choking under pressure;
    All these keywords.

    JEL classification:

    • J24 - Labor and Demographic Economics - - Demand and Supply of Labor - - - Human Capital; Skills; Occupational Choice; Labor Productivity
    • L83 - Industrial Organization - - Industry Studies: Services - - - Sports; Gambling; Restaurants; Recreation; Tourism
    • M52 - Business Administration and Business Economics; Marketing; Accounting; Personnel Economics - - Personnel Economics - - - Compensation and Compensation Methods and Their Effects
    • Z13 - Other Special Topics - - Cultural Economics - - - Economic Sociology; Economic Anthropology; Language; Social and Economic Stratification

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