Sequential Elimination Contests with All-Pay Auctions

@article{Sun2022SequentialEC,
  title={Sequential Elimination Contests with All-Pay Auctions},
  author={Fupeng Sun and Yanwei Sun and Chiwei Yan and Li Jin},
  journal={ArXiv},
  year={2022},
  volume={abs/2205.08104}
}
By modeling contests as all-pay auctions, we study two-stage sequential elimination contests (SEC) under incomplete information, where only the players with top efforts in the first stage can proceed to the second and final stage to compete for prizes. Players have privately held type/ability information that impacts their costs of exerting efforts. We characterize players’ Perfect Bayesian Equilibrium strategies and discover a somewhat surprising result: all players exert weakly lower efforts in… 

Figures from this paper

References

SHOWING 1-8 OF 8 REFERENCES
The optimal multi-stage contest
This paper investigates the optimal (effort-maximizing) structure of multi-stage sequential-elimination contests. We allow the contest organizer to design the contest structure using two instruments:
Contest architecture
Optimal Crowdsourcing Contests
TLDR
A theory is given that the optimal crowdsourcing contest is a virtual valuation optimizer (the virtual valuation function depends on the distribution of contestant skills and the number of contestants), and a comparison with more conventional means of procurement shows that crowdsourcing contests are 2-approximations to conventional methods for a large family of "regular" distributions.
Disclosure and Favoritism in Sequential Elimination Contests
In this online appendix we collect the materials omitted from the main text of the paper. The appendices are ordered according to where they are first referenced in the main text. Online Appendix A
Optimal Auction Design
TLDR
Optimal auctions are derived for a wide class of auction design problems when the seller has imperfect information about how much the buyers might be willing to pay for the object.
Optimal crowdsourcing contests. Games and Economic Behavior 113:80–96
  • 2019
Logistics and Transportation Review 145:102156
  • Moldovanu B, Sela A
  • 2006