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Preprints, Working Papers, ... Year : 2022

Do people share opportunities?

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Mohamed Belhaj
  • Function : Author
  • PersonId : 1032037
Frédéric Deroïan
  • Function : Author
  • PersonId : 937295
Mathieu Faure
  • Function : Author
  • PersonId : 942384

Abstract

A set of agents is aware of the existence of an economic opportunity, and compete for the associated prize. We study incentives to communicate about the existence of this economic opportunity to uninformed agents when the winner of the prize shares it with others, through some exogenous sharing rule. Communicating about the opportunity has two conflicting effects: it increases competition, but it can also increase the likelihood of receiving a large share of the prize. We find that, for any sharing rule, there is a minimum equilibrium, which Pareto dominates all other equilibria. We also find that under bilaterally symmetric sharing, more sharing generates more communication. We then discuss these results along several extensions.
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Dates and versions

hal-03921232 , version 1 (03-01-2023)

Identifiers

  • HAL Id : hal-03921232 , version 1

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Mohamed Belhaj, Frédéric Deroïan, Mathieu Faure. Do people share opportunities?. 2022. ⟨hal-03921232⟩
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