Arbeitspapier

Selection Tournaments, Sabotage, and Participation

This paper studies sabotage in tournaments with at least three contestants, where the contestants know each other well. Every contestant has an incentive to direct sabotage specifically against his most dangerous rival. In equilibrium, contestants who choose a higher productive effort are sabotaged more heavily. This might explain findings from psychology, where victims of mobbing are sometimes found to be overachieving. Further, sabotage equalizes promotion chances. The effect is most pronounced if the production function is linear in sabotage, and the cost function depends only on the sum of all sabotage activities: in an interior equilibrium, who will win is a matter of chance, even when contestants differ a great deal in their abilities. This, in turn, has adverse consequences for who might want to participate in a tournament. Since better contestants anticipate that they will be sabotaged more strongly, it may happen that the most able stay out and the tournament selects one of the less able with probability one. I also study the case where some contestants are easy victims, i.e. easier to sabotage than others.

Language
Englisch

Bibliographic citation
Series: SFB/TR 15 Discussion Paper ; No. 118

Classification
Wirtschaft
Personnel Economics: Firm Employment Decisions; Promotions
Labor Contracts
Time Allocation, Work Behavior, and Employment Determination: Other
Subject
tournament
contest
sabotage
selection

Event
Geistige Schöpfung
(who)
Münster, Johannes
Event
Veröffentlichung
(who)
Sonderforschungsbereich/Transregio 15 - Governance and the Efficiency of Economic Systems (GESY)
(where)
München
(when)
2006

DOI
doi:10.5282/ubm/epub.13433
Handle
URN
urn:nbn:de:bvb:19-epub-13433-4
Last update
10.03.2025, 11:43 AM CET

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Object type

  • Arbeitspapier

Associated

  • Münster, Johannes
  • Sonderforschungsbereich/Transregio 15 - Governance and the Efficiency of Economic Systems (GESY)

Time of origin

  • 2006

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