Covert Discrimination in All-pay Contests

Maria Betto and Matthew Wildrick Thomas

Abstract

A contest designer may wish to disadvantage a stronger player to improve competitiveness. We show this can be done in all-pay auctions such that the game is fair (i.e. symmetric) ex-ante. Yet, the stronger player is endogenously offered a lower prize in expectation. Thus, discrimination is covert.

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BibTeX

@article{mwt2021covertapa,
    title     = "Covert Discrimination in All-pay Contests",
    author    = "Maria Betto and Matthew Wildrick Thomas",
    year      = "2021"
}
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