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Who drops out of a race when workers have unequal costs?

research/race-heterogeneity

Paying the first k of n finishers when costs differ: proof of the π'(1) telescoping identity, exact exit rule (slow workers idle iff c_s/c_f ≥ n_f/(n_f−k), never for k ≥ n_f), cost ratio 4 excludes slow workers for k ≤ 3 of 4 fast, convex costs make headcount buy speed.

13 tests

What it found

If only the first k of n finishers are paid, a slow worker entering at a vanishing rate wins with probability rate × E X(k) of the fast workers, which gives an exact exit rule: workers with cost ratio cs/cf ≥ nf/(nf−k) stay out entirely, and paying k ≥ nf never excludes anyone (checked by best-entry payoffs at thresholds 4/3, 2, 4). At cost ratio 4 with four fast workers, k ≤ 3 shuts the slow ones out and k=4..7 readmits them (share of prizes 0.21→0.46 against a fair 0.5). The note also proves the telescoping identity behind the symmetric race and shows that with convex speed cost, headcount does buy speed. Two cost types, exponential races, grid-checked equilibria.

A figure from its own output

Figure produced by research/race-heterogeneity: discouragement
race-heterogeneity/experiments/discouragement.svg, written by the project's own experiment code.

Paper, code and results

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Produced with AI assistance (Claude). Results are from the code in this repository and are simulated or stylised unless the abstract says otherwise; nothing here implies affiliation with or endorsement by any lab, researcher or company cited. MIT licensed.