Please use this identifier to cite or link to this item: http://hdl.handle.net/10419/157287
Authors: 
Sahm, Marco
Year of Publication: 
2017
Series/Report no.: 
BERG Working Paper Series 120
Abstract: 
I examine the impact of risk preferences on efforts and winning probabilities in generalised Tullock contests between two players. The theoretical analysis yields two main results. First, I specify a sufficient condition on the agents' comparative prudence under which a higher common level of risk aversion leads to lower aggregate effort in symmetric contests. Second, I show that for a certain range of parameters in asymmetric contests, higher risk-aversion will be a disadvantage if the agent is comparatively prudent.
Subjects: 
Tullock Contest
Risk Aversion
Prudence
JEL: 
C72
D72
ISBN: 
978-3-943153-39-2
Document Type: 
Working Paper

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