In this paper we analyze the frequently observed phenomenon that (i) some members of a team (black sheepʺ) exhibit behavior disliked by other (honest) team members, who (ii) nevertheless refrain from reporting such misbehavior to the authorities (they set up a wall of silenceʺ). Much cited...

In this paper we analyze the frequently observed phenomenon that (i) some members of a team (black sheep) exhibit behavior disliked by other (honest) team members, who (ii) nevertheless refrain from reporting such misbehavior to the authorities (they set up a wall of silence). Much cited...

In this paper we analyze the frequently observed phenomenon that (i) some members of a team ('black sheep') exhibit behavior disliked by other (honest) team members, who (ii) nevertheless refrain from reporting such misbehavior to the authorities (they set up a 'wall of silence'). Much cited...

We consider a standard two-player all-pay auction with private values, where the valuation for the object is private information to each bidder. The crucial feature is that one bidder is favored by the allocation rule in the sense that he need not bid as much as the other bidder to win the...