Tullock contests may be revenue superior to auctions in a symmetric setting
Matros, Alexander and Possajennikov, Alex (2016) Tullock contests may be revenue superior to auctions in a symmetric setting. Economics Letters, 142 . pp. 74-77. ISSN 0165-1765
Official URL: http://dx.doi.org/10.1016/j.econlet.2016.03.003
We consider a symmetric two-player common-value setting where each player gets a private signal about the object value. We show that for some parameter values the equilibrium revenue can be higher in a Tullock contest than in the standard auctions.
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