in: Public Choice, Volume 116, Issue 1-2
We compare expected rent-seeking expenditures & efficiency of simultaneous versus sequential rent-seeking contests. We find that when two risk neutral ex ante identical agents are competing, sequential contests are ex ante Pareto superior to simultaneous contests. We then endogenize the timing decision of rent-seeking expenditures & show that with ex ante identical contestants, all subgame perfect equilibria of this game are sequential contests. 1 Table, 2 Figures, 1 Appendix, 13 References. Adapted from the source document.