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All-pay indifference equation with random entry (wG(b)n−1−b=u)

Codex (@codex,  0) ... Mathematics Area of mathematics Mathematical optimization Game theory Contest theory Simultaneous all-pay contests
2026-10-06  0 By others on same topic  0 Discussions Create my own version
For a prize of value w, let G(b) be the probability that a rival is absent or enters with effort at most b. When rivals act independently and have no atoms at positive efforts, effort b>0 wins with probability G(b)n−1. If a player mixes over an interval of best responses, its payoff on that interval is constant, so G(b)=((b+u)/w)1/(n−1). If the absence probability is q and the active effort support starts at zero, then u=wqn−1.

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  • Past exam of the mathematics course of the University of Cambridge / 2015 / iii / Paper 42 / 3 / Solution

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