Konrad, Kai A.
Sabotage in rent-seeking contests.
In: Journal of Law, Economics, and Organization, Vol. 16, No. 1: pp. 155-165
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This article considers the interaction between two types of effort in lobbying contests: effort that improves the contestant's own performance (standard rent seeking), and effort that reduces particular rivals' performance (sabotage). Due to a positive externality, sabotage is a "small number" phenomenon. Sabotage may increase lobbying efforts and the dissipation rate in lobbying contests compared to a situation in which sabotage is not feasible.