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2747脑筋急转弯简单derivationshort

All-Pay Contest Break-Even Effort

题目

Two equally skilled quants enter an all-pay contest for a prize worth VV. A contestant who spends effort ee while the rival spends e0e_0 wins with probability e/(e+e0)e/(e+e_0), and everyone pays their own effort regardless of outcome. Holding e0e_0 fixed, write the payoff of effort ee and solve the equation that defines break-even effort.

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你的答案

Payoff

Break-even effort