Equilibrium Effort in Games with Homogeneous Production Functions and Homogeneous Valuation
Walter Ferrarese ()
Additional contact information
Walter Ferrarese: Universitat de Les Illes Balears, http://www.ceistorvergata.it
No 432, CEIS Research Paper from Tor Vergata University, CEIS
I analyze n-player games in which players exert effort to win part or all of a prize, whose value can either be exogenously given or itself a function of the efforts of an arbitrary subset of contenders. When the functions mapping the vector of efforts into the part of the prize that each player receives in the game and on its value, as well as the cost of effort, exhibit an arbitrary degree of homogeneity, I present a simple way to compute the equilibrium strategy and the sufficient conditions for the existence of a unique interior symmetric pure-strategy Nash equilibrium. The setup nests Malueg and Yates (2006), who exploit homogeneity within the class of rent-seeking contests, and extends it in two directions. In particular, it shows that the properties of homogeneous functions can be used to solve: i) a wider range of rent-seeking contests; ii) other classes of games, like Cournot games with non linear inverse demand and possibly non homogeneous goods.
Keywords: Equilibrium effort; Homogeneous functions; Symmetric games. (search for similar items in EconPapers)
JEL-codes: C70 D43 D72 (search for similar items in EconPapers)
Pages: 23 pages
Date: 2018-04-26, Revised 2021-11-12
New Economics Papers: this item is included in nep-gth and nep-mic
References: View references in EconPapers View complete reference list from CitEc
Citations: Track citations by RSS feed
Downloads: (external link)
https://ceistorvergata.it/RePEc/rpaper/RP432.pdf Main text (application/pdf)
This item may be available elsewhere in EconPapers: Search for items with the same title.
Export reference: BibTeX
RIS (EndNote, ProCite, RefMan)
Persistent link: https://EconPapers.repec.org/RePEc:rtv:ceisrp:432
Ordering information: This working paper can be ordered from
CEIS - Centre for Economic and International Studies - Faculty of Economics - University of Rome "Tor Vergata" - Via Columbia, 2 00133 Roma
Access Statistics for this paper
More papers in CEIS Research Paper from Tor Vergata University, CEIS CEIS - Centre for Economic and International Studies - Faculty of Economics - University of Rome "Tor Vergata" - Via Columbia, 2 00133 Roma. Contact information at EDIRC.
Bibliographic data for series maintained by Barbara Piazzi ().