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Group Size, Collective Action and Complementarities in Efforts

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  • Cheikbossian, Guillaume
  • Fayat, Romain

Abstract

We revisit the group size paradox in a model where two groups of different sizes compete for a prize exhibiting a varying degree of rivalry and where group effort is given by a CES function of individual e¤orts. We show that the larger group can be more successful than the smaller group if the degree of complementarity is sufficiently high relative to the degree of rivalry of the prize.

Suggested Citation

  • Cheikbossian, Guillaume & Fayat, Romain, 2018. "Group Size, Collective Action and Complementarities in Efforts," TSE Working Papers 18-918, Toulouse School of Economics (TSE).
    • Handle: RePEc:tse:wpaper:32635
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    References listed on IDEAS

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    1. Alchian, Armen A & Demsetz, Harold, 1972. "Production , Information Costs, and Economic Organization," American Economic Review, American Economic Association, vol. 62(5), pages 777-795, December.
    2. Chowdhury, Subhasish M. & Lee, Dongryul & Sheremeta, Roman M., 2013. "Top guns may not fire: Best-shot group contests with group-specific public good prizes," Journal of Economic Behavior & Organization, Elsevier, vol. 92(C), pages 94-103.
    3. Cornes, Richard & Hartley, Roger, 2007. "Weak links, good shots and other public good games: Building on BBV," Journal of Public Economics, Elsevier, vol. 91(9), pages 1684-1707, September.
    4. Debraj Ray & Jean-Marie Baland & Olivier Dagnelie, 2007. "Inequality and Inefficiency in Joint Projects," Economic Journal, Royal Economic Society, vol. 117(522), pages 922-935, July.
    5. Kolmar, Martin & Rommeswinkel, Hendrik, 2013. "Contests with group-specific public goods and complementarities in efforts," Journal of Economic Behavior & Organization, Elsevier, vol. 89(C), pages 9-22.
    6. Katz, Eliakim & Nitzan, Shmuel & Rosenberg, Jacob, 1990. "Rent-Seeking for Pure Public Goods," Public Choice, Springer, vol. 65(1), pages 49-60, April.
    7. Joan Esteban & Debraj Ray, 2008. "Collective Action and the Group Size Paradox," Springer Books, in: Roger D. Congleton & Arye L. Hillman & Kai A. Konrad (ed.), 40 Years of Research on Rent Seeking 1, pages 379-388, Springer.
    8. Lee, Dongryul, 2012. "Weakest-link contests with group-specific public good prizes," European Journal of Political Economy, Elsevier, vol. 28(2), pages 238-248.
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    Citations

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    Cited by:

    1. Martin Kolmar & Hendrik Rommeswinkel, 2020. "Group size and group success in conflicts," Social Choice and Welfare, Springer;The Society for Social Choice and Welfare, vol. 55(4), pages 777-822, December.
    2. Nöldeke, Georg & Peña, Jorge, 2018. "Group size effects in social evolution," IAST Working Papers 18-75, Institute for Advanced Study in Toulouse (IAST).
    3. Peña, Jorge & Heifetz, Aviad & Nöldeke, Georg, 2024. "The shirker’s dilemma and the prospect of cooperation in large groups," Theoretical Population Biology, Elsevier, vol. 155(C), pages 10-23.
    4. Dripto Bakshi & Indraneel Dasgupta, 2021. "A Subscription vs. Appropriation Framework for Natural Resource Conflicts," World Scientific Book Chapters, in: Anil Markandya & Dirk Rübbelke (ed.), CLIMATE AND DEVELOPMENT, chapter 9, pages 257-307, World Scientific Publishing Co. Pte. Ltd..
    5. Bakshi, Dripto & Dasgupta, Indraneel, 2021. "Internal versus External Rent-Seeking with In-Group Inequality and Public Good Provision," IZA Discussion Papers 14871, Institute of Labor Economics (IZA).
    6. Cheikbossian, Guillaume, 2021. "Evolutionarily stable in-group altruism in intergroup conflict over (local) public goods," Games and Economic Behavior, Elsevier, vol. 127(C), pages 206-226.
    7. Katsuya Kobayashi & Hideo Konishi, 2021. "Effort complementarity and sharing rules in group contests," Social Choice and Welfare, Springer;The Society for Social Choice and Welfare, vol. 56(2), pages 205-221, February.
    8. Peña, Jorge & Heifetz, Aviad & Nöldeke, Georg, 2023. "The shirker’s dilemma and the prospect of cooperation in large groups," IAST Working Papers 23-152, Institute for Advanced Study in Toulouse (IAST), revised Oct 2023.
    9. Dripto Bakshi & Indraneel Dasgupta, 2021. "Internal vs. external rent-seeking with in-group inequality and public good provision," Discussion Papers 2021-06, University of Nottingham, CREDIT.
    10. Guillaume Cheikbossian, 2021. "Group cooperation against a hegemon," Journal of Theoretical Politics, , vol. 33(1), pages 25-55, January.

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    More about this item

    Keywords

    group size paradox; group contest; complementarity; (impure) public good;
    All these keywords.

    JEL classification:

    • 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

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