Journal of Sports Economics · 2004 · 76 citations · 4 references
Social SciencesEconomicsBehavioral EconomicsDecision TheoryGame TheoryBehavioral Game TheoryGame Theory In CompetitionGroup Dynamics In SportTeam IncentivesTeam PerformanceTeam-based IncentivesExperimental Game TheoryTournament Incentives In Sports
This article argues that a rigorous application of simple game theory tools may provide unambiguous predictions about the behavior of teams in sports. As an illustration, the authors analyze the merits of two controversial changes in soccer rules, namely, the “three-point victory” and the “golden goal.” Building on well-accepted premises, the authors show that contrary to the common belief, the incentives of teams to play offensively may be lower under the three-point victory than under the traditional two-point victory. They also provide clear and simple recommendations for the improvement of these rules.
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Rank-Order Tournaments as Optimum Labor Contracts
Edward P. Lazear, Sherwin Rosen · Journal of Political Economy · 1981 · 4.6K citations · Full text
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Ignacio Palacios‐Huerta · The Review of Economic Studies · 2003 · 340 citations