Abstract
We show, among other results, that the Tullock dissipation rate at a symmetric Nash equilibrium, under risk aversion, approaches the risk-neutral rate as rent size becomes small. Under quadratic risk-averse utility, the risk-neutral rate applies under duopoly regardless of rent size. Under constant absolute risk aversion, the rate rises with rent size.
Talk to us
Join us for a 30 min session where you can share your feedback and ask us any queries you have
Schedule a callDisclaimer: All third-party content on this website/platform is and will remain the property of their respective owners and is provided on "as is" basis without any warranties, express or implied. Use of third-party content does not indicate any affiliation, sponsorship with or endorsement by them. Any references to third-party content is to identify the corresponding services and shall be considered fair use under The CopyrightLaw.
