Strategic divide and choose
AbstractWe consider the classic cake-division problem when the cake is a heterogeneous good represented by an interval in the real line. We provide a mechanism to implement, in an anonymous way, an envy-free and efficient allocation when agents have private information on their preferences. The mechanism is a multi-step sequential game form in which each agent at each step receives a morsel of the cake that is the intersection of what she asks for herself and what the other agent concedes to her.
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Bibliographic InfoArticle provided by Elsevier in its journal Games and Economic Behavior.
Volume (Year): 64 (2008)
Issue (Month): 1 (September)
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Web page: http://www.elsevier.com/locate/inca/622836
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