In this paper we first characterize the class of contest success functions (CSF) that yield contests with dominant strategies. Then we study the optimal contest as a decision problem under uncertainty. We consider the classical criteria of Wald, Laplace, Hurwicz and Savage. We find that the CSF...

We model a dynamic duopoly in which firms can potentially drive their rivals from the market. A consequence is that, for some ranges of parameters, the static Cournot equilibrium outcome cannot be sustained in an infinitely repeated setting. In those cases, there is a Markov perfect equilibrium...

We analyze a two period contest in which agents may become bankrupt at the end of the first period. A bankrupt agent is excluded from the contest in the second period of the game. We investigate the existence of a subgame perfect equilibrium in pure strategies. We distinguish between a borrowing...