Two experiments investigated the effects of payoff inequity on dyadic competition when a noncompetitive alternative providing equitable payoffs was concurrently available, on the hypothesis that the maintenance of competition may be inherently no less problematic than that of cooperation. In Experiment 1, one person’s competitive payoffs were equal to (equity), twice (low inequity), or four times (high inequity) the other person’s during a 48-trial matching game. Frequency of competition by the underpaid subject was found to vary inversely with magnitude of inequity. Experiment 2 found a preannounced midpoint reversal of the beneficiary of inequity significantly weakened the inequity effect. Results are compared with those from similar studies of the maintenance of cooperation under inequity and are contrasted with those from studies using mixed-motive matrix game formats.