Effective Political Contests

We study two-stage political contests with private entry costs. We show that these political contests could be ineffective, namely, the chance of low ability candidates participating in the contest might be higher than the chance of high ability candidates participating in the contest (and winning). However, by imposing a costly requirement (fee) on the winner of the contest, one can guarantee that the contest will be effective.

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Year of publication:	2008
Authors:	Kaplan, Todd R. ; Sela, Aner
Institutions:	Economics Department, Ben Gurion University of the Negev
Subject:	All-pay auctions \| Contests \| Entry costs

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Extent:	application/pdf
Series:	Working Papers.
Type of publication:	Book / Working Paper
Language:	English
Notes:	Number 0804 14 pages
Classification:	D44 - Auctions ; O31 - Innovation and Invention: Processes and Incentives ; O32 - Management of Technological Innovation and R&D
Source:	RePEc - Research Papers in Economics

Persistent link: https://www.econbiz.de/10008577379