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The HoneyComb Paradigm for Research on Collective Human Behavior
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Endogenous timing in three-player Tullock contests.

Kyung Hwan Baik1,2, Jong Hwa Lee3, Seokho Lee4

  • 1Department of Economics, Appalachian State University, Boone, NC 28608 USA.

Social Choice and Welfare
|April 4, 2022
PubMed
Summary
This summary is machine-generated.

In a three-player Tullock contest with endogenous timing, players strategically choose when to exert effort. With moderate player asymmetries, all players opt for simultaneous effort at the earliest opportunity.

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Area of Science:

  • Game Theory
  • Behavioral Economics
  • Industrial Organization

Background:

  • Tullock contests are widely used models to study rent-seeking and resource allocation.
  • Endogenous timing introduces strategic considerations regarding the timing of actions, influencing outcomes.

Purpose of the Study:

  • To analyze the timing decisions of players in a three-player Tullock contest with endogenous timing.
  • To investigate how player asymmetries affect the chosen timing of effort exertion.

Main Methods:

  • The study employs a theoretical model of a three-player Tullock contest.
  • Players independently and simultaneously choose between two discrete time points to exert effort.
  • Subsequent effort levels are chosen at the announced times.

Main Results:

  • When player asymmetries are moderate, all players strategically announce the first available time point.
  • Consequently, all players exert effort simultaneously in the first period.
  • This outcome contrasts with findings in two-player asymmetric contests.

Conclusions:

  • The endogenous timing framework reveals a tendency towards simultaneous action in three-player Tullock contests under moderate asymmetry.
  • Player interactions and asymmetries significantly shape strategic timing decisions in contest models.