Personally, I prefer to enter contests in which prizes have some
reasonable relativity. For example, if $750 is the reward for first
prize, I would like the second prize to offer $350 and the third prize
$200. Plus four consolation awards of $50 each. If my mathematics are
correct, that comes to around $1,500.

Maybe I'm in the minority. As contest organizer for both the Tom
Howard Short Story Contest and the Tom Howard Poetry Prize, I have to
set cash prizes within a certain budget. That budget is around the
US$1,500 mark. If I were to allocate $1,000 to first prize, I have
only $200 to spare for second, $100 for third, plus the pool of $200
for consolation or encouragement awards.

I'd love to get some feedback on this. $1,000 first prize or $750? All
other things being equal (including the total amount of prizemoney to
be distributed), which contest would you enter?