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Drugs, guns, and targeted competition

Abstract:
We consider a dynamic competition game involving three players, in which each player can vary the extent of his competition on a per-rival basis. We call such competition targeted. We show that if the players are myopic, then the weaker players eventually lose the game to their strongest rival. If instead the players are sufficiently far-sighted, then all three players converge in their power and stay in the game. We develop our model in application to drug wars, but the approach of targeted competition can be applied to competition between firms or political parties, or to warfare.
Publication status:
Published
Peer review status:
Peer reviewed

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Publisher copy:
10.1016/j.geb.2014.06.007

Authors

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Institution:
University of Oxford
Division:
SSD
Department:
Economics
Role:
Author
ORCID:
0000-0001-7820-5530


Publisher:
Elsevier
Journal:
Games and Economic Behavior More from this journal
Volume:
87
Pages:
497-507
Publication date:
2014-07-28
DOI:
ISSN:
0899-8256


Language:
English
Pubs id:
pubs:975832
UUID:
uuid:348da5ca-0018-4001-85b4-3565806653d7
Local pid:
pubs:975832
Deposit date:
2019-02-22
ARK identifier:

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