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Egalitarian solutions in the core

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Author Info
Javier Arin (Universidad Pais Vasco, Fundamentos Analisis Economico, Avenida Lehendakari Aguirre 83, 48015 Bilbao, Spain)
Elena Inarra (Universidad Pais Vasco, Fundamentos Analisis Economico, Avenida Lehendakari Aguirre 83, 48015 Bilbao, Spain)

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Abstract

In this paper we define the Lorenz stable set, a subset of the core consisting of the allocations that are not Lorenz dominated by any other allocation of the core. We introduce the leximin stable allocation, which is derived from the application of the Rawlsian criterion on the core. We also define and axiomatize the egalitarian core, a set of core allocations for which no transfer from a rich player to a poor player is possible without violating the core restrictions. We find an inclusive relation of the leximin stable allocation and of the Lorenz stable set into the egalitarian core.

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Publisher Info
Article provided by Springer in its journal International Journal of Game Theory.

Volume (Year): 30 (2001)
Issue (Month): 2 ()
Pages: 187-193
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Handle: RePEc:spr:jogath:v:30:y:2001:i:2:p:187-193

Note: Received: October 1999/Final version: July 2001
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Related research
Keywords: balanced games · reduced game properties Rawls and Lorenz criteria;

Cited by:
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  1. Branzei, R. & Dimitrov, D. & Tijs, S.H., 2004. "The equal split-off set for cooperative games," Discussion Paper 110, Tilburg University, Center for Economic Research. [Downloadable!]
  2. Javier Arin & Jeroen Kuipers & Dries Vermeulen, 2008. "An axiomatic approach to egalitarianism in TU-games," International Journal of Game Theory, Springer, vol. 37(4), pages 565-580, December. [Downloadable!] (restricted)
  3. Branzei, R. & Llorca, N. & Sanchez-Soriano, J. & Tijs, S.H., 2007. "Egalitarianism in Multi-Choice Games," Discussion Paper 2007-55, Tilburg University, Center for Economic Research. [Downloadable!]
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