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Persistent link: https://www.econbiz.de/10005409030
This paper shows how to maximize revenue when a contest is noisy. We consider a case where two or more contestants bid for a prize in a stochastic contest where all bidders value the prize equally. We show that, whenever a Tullock contest yields under-dissipation, the auctioneerʼs revenue can...
Persistent link: https://www.econbiz.de/10011049893