Sabotaging Teammates and Rent Dissipation in a Rent-Seeking Contest

This study examines a rent-seeking contest among teams in which members can sabotage their teammates.We demonstrate how rent dissipation differs, with and without intra-team sabotage options. We find that an increased number of teams always increases rent dissipation, with and without sabotage options. In contrast, rent dissipation nonmonotonically changes with the number of team members. These changes in rent dissipation may contribute to alleviating efficiency losses in real-world contests.