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A simple microfoundation for the utilization of fragmentation indexes to measure the performance of a team

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  • Benoît Le Maux

    (University of Rennes 1, CREM-CNRS)

  • Yvon Rocaboy

    (University of Rennes 1, CREM-CNRS)

Abstract

We propose a simple non-cooperative game model where two fragmented teams compete to increase their performance. The theoretical framework is based on the theory of conflict. We show that depending on the value of a parameter in the model, the power of the competing teams may be expressed as a function of well-known fragmentation indexes: the Herfindhal-Hirschman index, the Laakso-Taagepera index, the Best shot index and the Weakest-link index.

Suggested Citation

  • Benoît Le Maux & Yvon Rocaboy, 2011. "A simple microfoundation for the utilization of fragmentation indexes to measure the performance of a team," Economics Working Paper from Condorcet Center for political Economy at CREM-CNRS 2011-02-ccr, Condorcet Center for political Economy.
    • Handle: RePEc:tut:cccrwp:2011-02-ccr
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    Cited by:

    1. Robert Breunig & Bronwyn Garrett-Rumba & Mathieu Jardin & Yvon Rocaboy, 2014. "Wage dispersion and team performance: a theoretical model and evidence from baseball," Applied Economics, Taylor & Francis Journals, vol. 46(3), pages 271-281, January.
    2. Yvon Rocaboy, 2017. "Competition Among National Football Leagues. Does It Exist? Should We Regulate?," Scottish Journal of Political Economy, Scottish Economic Society, vol. 64(1), pages 88-114, February.
    3. Benoît Le Maux & Yvon Rocaboy, 2016. "Competition in fragmentation among political coalitions: theory and evidence," Public Choice, Springer, vol. 167(1), pages 67-94, April.

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    More about this item

    Keywords

    Contest success function; Fragmentation; Herfindhal-Hirschman index; Laakso-Taagepera index; Best shot index; Weakest-link index;
    All these keywords.

    JEL classification:

    • D70 - Microeconomics - - Analysis of Collective Decision-Making - - - General
    • D71 - Microeconomics - - Analysis of Collective Decision-Making - - - Social Choice; Clubs; Committees; Associations
    • 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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