The effect of limited search ability on the quality of competitive rent-seeking clubs
نویسندگان
چکیده
A competitive rent-seeking club (CRSC) offers its members the chance of winning a prize (status, position, privilege) by being selected, typically, by a civil servant or a politician. The selector replaces in our setting the usual contest success function; instead of determining the winner on the basis of the club-members' efforts, he selects the winner on the basis of quality. This paper focuses on the effect of incomplete search of the selector on the efficiency of democratic self-governing and decentralized RSC's that control admittance to the club and its transparency, assuming that quality of their members is fixed. The incomplete search of the selector is assumed to take the simple form of fixed random sampling of the contestants the members of the CRSC. Our results imply that, even when active rent-seeking expenditures are disregarded, the decisions of CRSC's regarding their composition and transparency tend to reduce quality and are therefore inefficient
منابع مشابه
The Size of Rent-seeking Activity in Iran's Foreign Trade Sector: An Application of the DSGE Approach
Rent-seeking in the trade sector is an outcome of restrictions imposed on tariffs and import quotas by a government. In an effort to acquire more privilege in foreign trade, labor allocates a part of its time-effort to rent-seeking activity, while cutting down on production work. Given the importance of rent-seeking activity due to restrictions imposed by the government in the Iranian economy, ...
متن کاملThe Effect of Innovation Capability on Innovative Performance of Sport Clubs
Sports clubs have been encouraged to make a difference to meet customer satisfaction and expectations. Due to the growth of commercialization and professionalism of the sports industry, the capability of sports clubs to create innovation is important. Therefore, the purpose of this study was to study the effect of innovation capability dimensions on innovation performance of sport clubs. The pr...
متن کاملSolving the competitive facility location problem considering the reactions of competitor with a hybrid algorithm including Tabu Search and exact method
In this paper, a leader–follower competitive facility location problem considering the reactions of the competitors is studied. A model for locating new facilities and determining levels of quality for the facilities of the leader firm is proposed. Moreover, changes in the location and quality of existing facilities in a competitive market where a competitor offers the same goods or services ar...
متن کاملWhat Is The Driving Force Behind Industrial Development In Iran? Rent Seeking And Labor Exploitation As The Driving Force Of Industrial Growth
متن کامل
Effect of evidence based medicine training in the quality of journal clubs: A road to evidence based journal clubs
Introduction: Journal clubs play an important role in teaching Evidence Based Medicine (EBM). Evidence based journal clubs focus on real problems of the group, and set a minimum level of evidence for articles to be presented, and in the end a clinical bottom line is set to be used in the daily clinical practice. In this article, we have explained our experience in r...
متن کاملذخیره در منابع من
با ذخیره ی این منبع در منابع من، دسترسی به آن را برای استفاده های بعدی آسان تر کنید
برای دانلود متن کامل این مقاله و بیش از 32 میلیون مقاله دیگر ابتدا ثبت نام کنید
ثبت ناماگر عضو سایت هستید لطفا وارد حساب کاربری خود شوید
ورودعنوان ژورنال:
- Social Choice and Welfare
دوره 35 شماره
صفحات -
تاریخ انتشار 2010