Contests as a Tool for Development: Evidence from Peru.
Abstract: To investigate the effectiveness of contests in a development
setting, I use a case study from Peru where contests are implemented by giving households
numeric scores based on how well they have adopted improved agricultural, sanitation and
agribusiness technologies. This paper analyzes the incentive effects of these contests by
testing three hypotheses generated by theory: (1) ... read moreIncreasing the number of contestants will
decrease average performance; (2) Performance is increasing in the prize spread; (3) High
ability contestants will adopt low-risk strategies while low ability contestants will adopt
high risk strategies. I find evidence consistent with theory for hypotheses (2) and (3),
but the results for hypothesis (1) are ambiguous in regard to theoretical predictions.
Together, the results suggest that contests influence behavior in predictable ways and
therefore have the potential to be an additional policy option for development
Thesis (M.S.)--Tufts University, 2013.
Submitted to the Dept. of Economics.
Advisors: Kelsey Jack, and Maragaret Mcconnell.
Keywords: Economics, Agriculture economics, and Social research.read less
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