DP3784 Delay in Contests

Author(s): Helmut Bester, Kai A. Konrad
Publication Date: February 2003
Keyword(s): conflict, contest, delay
JEL(s): B31, D74, H77
Programme Areas: Public Economics
Link to this Page: cepr.org/active/publications/discussion_papers/dp.php?dpno=3784

Why is there delay in contests? In this Paper we follow and extend the line of reasoning of Carl von Clausewitz to explain delay. For a given contest technology, delay may occur if there is an asymmetry between defense and attack, if the expected change in relative strengths is moderate, and if the additional cost of investment in future strength is low.