Abstract
I study the impact of asymmetric loss constraints on risk-taking behavior in the contest model of Seel and Strack (2013). I derive the unique Nash equilibrium outcome, the equilibrium payoffs and comparative statics about the bankruptcy risk.
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Original language | English |
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Pages (from-to) | 154-157 |
Number of pages | 4 |
Journal | Economics Letters |
Volume | 136 |
DOIs | |
Publication status | Published - Nov 2015 |
Keywords
- Contest
- Risk-taking
- Credit line
- ASYMMETRIC CONTESTS
- HEAD STARTS
- INFORMATION