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This paper investigates the use of egalitarian criteria to select allocations in bankruptcy problems. In our work, we characterize the sets of Lorenz maximal elements for these problems. We show that the allocation selected by the Proportional Rule is the only allocation that belongs to all...
Persistent link: https://www.econbiz.de/10010904647
The paper presents a unified framework where claim and cost sharing problems are jointly analyzed. Both problems have the following common characteristic: given a proposal the agents valuate the suitability of the proposal in two ways, checking how much they loss and how much they gain. Taking...
Persistent link: https://www.econbiz.de/10008552472