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Asymmetric Opportunities After an Unsuccessful Sports Career

Author

Listed:
  • Martin Grossmann
Abstract
Contestants enter a risky contest when pursuing a sports career or choose a secure outside option. If contestants enter this contest but their sports career fails, they may have asymmetric career opportunities outside of sport. Greater opportunities reduce the risk of entering this contest. However, contestants’ incentives to exert effort decrease. Two types of equilibria exist if the initial pool of contestants is large. Either only types with high opportunities or only types with low opportunities enter the sports contest. If the initial pool of contestants is low, both types of contestants participate in the contest.

Suggested Citation

  • Martin Grossmann, 2021. "Asymmetric Opportunities After an Unsuccessful Sports Career," Journal of Sports Economics, , vol. 22(5), pages 587-612, June.
    • Handle: RePEc:sae:jospec:v:22:y:2021:i:5:p:587-612
    DOI: 10.1177/1527002521995874
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    References listed on IDEAS

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