The League Composition Effect in Tournaments with Heterogeneous Players: An Empirical Analysis of Broiler Contracts
比较了锦标赛和计件工资合同在异质性能力代理人中的福利效应，发现混合不同能力参与者的锦标赛会产生联盟构成效应。利用肉鸡合同生产数据估计了养殖户能力方差、共同生产冲击和个体冲击，结果表明锦标赛合同比计件工资带来更高福利。
We compare welfare effects of tournaments and piece rates in contracts with heterogeneous ability agents and demonstrate that tournaments that mix players of unequal abilities create a league composition effect. When leagues are fixed and the time horizon sufficiently long, piece rates improve welfare over tournaments. Using contract production data for broiler chickens, we estimate the variances of growers' abilities, common production shock, and grower's idiosyncratic shock. Growers' abilities are heterogeneous, and common production shocks are significant. Leagues in broiler tournaments disintegrate rapidly over time, suggesting that tournament contracts offer more welfare than piece rates.