EconPapers    
Economics at your fingertips  
 

Not all Group Members are created Equal: Heterogeneous Abilities in Inter-group Contests

Francesco Fallucchi (), Enrique Fatas, Felix Koelle () and Ori Weisel ()
Additional contact information
Felix Koelle: University of Cologne

Authors registered in the RePEc Author Service: Felix Kölle ()

No 2018-06, Discussion Papers from The Centre for Decision Research and Experimental Economics, School of Economics, University of Nottingham

Abstract: Competition between groups is ubiquitous in social and economic life, and groups are typically not created equal. Here we experimentally investigate the implications of this general observation on the unfolding of symmetric and asymmetric competition between groups that are either homogeneous or heterogeneous in the ability of their members to contribute to the success of the group. Our main finding is that, in contrast with a number of theoretical predictions, efforts in contests involving heterogeneous groups are higher than in contests involving only homogeneous groups, leading to reduced earnings (to contest participants) and increased inequality. This effect is particularly pronounced in asymmetric contests, where both homogeneous and heterogeneous groups increase their efforts. We find that asymmetry between groups changes the way group members condition their efforts on those of their peers. Implications for contest designers are discussed.

Keywords: Contests; groups; abilities; heterogeneity; experiments (search for similar items in EconPapers)
New Economics Papers: this item is included in nep-cdm and nep-exp
Date: 2018-06
References: View references in EconPapers View complete reference list from CitEc
Citations: Track citations by RSS feed

Downloads: (external link)
https://www.nottingham.ac.uk/cedex/documents/paper ... on-paper-2018-06.pdf (application/pdf)

Related works:
Working Paper: Not all Group Members are created Equal: Heterogeneous Abilities in Inter-group Contests (2018) Downloads
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: https://EconPapers.repec.org/RePEc:not:notcdx:2018-06

Access Statistics for this paper

More papers in Discussion Papers from The Centre for Decision Research and Experimental Economics, School of Economics, University of Nottingham School of Economics University of Nottingham University Park Nottingham NG7 2RD. Contact information at EDIRC.
Bibliographic data for series maintained by Suzanne Robey ().

 
Page updated 2019-05-17
Handle: RePEc:not:notcdx:2018-06