Contests
Theory and Applications

A new way to understand economic problems that complement the traditional views and expand subjects that social scientists should consider.

Carmen Beviá (Author), Luis Corchón (Author)

9781009504423, Cambridge University Press

Hardback, published 6 June 2024

238 pages
25 x 17.5 x 1.9 cm, 0.58 kg

'From sporting events to wars, Beviá and Corchón's comprehensive analysis sheds light on the strategic behavior that shapes our social and economic landscapes, and on possible policies such as affirmative action that can improve it. For researchers seeking to master the nuances of contest theory, Contests: Theory and Applications is an indispensable companion, while, for teachers, this book will be an invaluable resource that encompasses theory, application, and exercises. Engaging, insightful, and eminently readable, dive deeper into contest theory with this essential guide!' Subhasish M. Chowdhury, Professor of Economics, University of Sheffield

Contest theory is an important part of game theory used to analyse different types of contests and conflicts. Traditional microeconomic models focus on situations where property rights are well defined, and agents voluntarily trade rights over goods or produce rights for new goods. However, much less focus has been given to other situations where agents do not trade property rights, but rather fight over them. Contests: Theory and Applications presents a state-of-the art discussion of the economics of contests from the perspective of both core theory and applications. It provides a new approach to standard topics in labour, education, welfare and development and introduces areas like voting, industrial organisation, mechanism design, sport, and military conflict. Using elementary mathematics, this book provides a versatile framework for navigating this growing area of study and serves as an essential resource for its wide variety of applications in economics and political science.

Preface
Part I. Foundations: 1. An Introduction to Contests
2. Contest Success Functions (CSFs)
3. Equilibrium with Heterogeneous Agents
4. Foundations for Contests Success Functions
Part II. Extensions: 5. Contests Between Groups
6. Sabotage
7. Dynamic Contests
8. Asymmetric Information
Part III. Applications: 9. Contests in Other Environments: Draws, Large Contests and Entry
10. Contests in Classical Problems: Divisionalizacion, Monopoly Welfare Losses, Coase Theorem, Voting
11. Contests, Institutions, Wars and Economic Success
12. Contests: Social Welfare and Public Policy
References
Index.

Subject Areas: Microeconomics [KCC]