Kıbrıs, Özgür; Kıbrıs, Arzu - In: Games and Economic Behavior 80 (2013) C, pp. 85-99
Axiomatic analysis of bankruptcy problems reveals three major principles: (i) proportionality (PRO), (ii) equal awards (EA), and (iii) equal losses (EL). However, most real life bankruptcy procedures implement only the proportionality principle. We construct a noncooperative investment game to...