Sharing a common resource with concave benefits
AbstractA group of agents enjoy concave and single-peak benefit functions from consuming a shared resource. They also value money (transfers). The resource is scarce in the sense that not everybody can consume its peak. The paper characterizes the unique (resource and money) allocation that is efficient, incentive compatible and equal-sharing individual rational. It can be implemented (i) by selling the resource or taxing extraction and redistributing the money collected equally, or (ii) by assigning property rights on equal shares in a competitive market. Next, the paper posits an allocation that is incentive compatible, individual rational and assigns to every agent no more than its peak benefit.
Download InfoIf you experience problems downloading a file, check if you have the proper application to view it first. In case of further problems read the IDEAS help page. Note that these files are not on the IDEAS site. Please be patient as the files may be large.
Bibliographic InfoPaper provided by Grenoble Applied Economics Laboratory (GAEL) in its series Working Papers with number 200601.
Date of creation: 2006
Date of revision:
Contact details of provider:
Postal: 1241 rue des Résidences, Domaine Universitaire, 38400 Saint Martin d'Hères
Phone: (0033) 4 76 82 54 39
Web page: http://www.grenoble.inra.fr/
More information through EDIRC
COMMON RESOURCE; SINGLE PEAK; INCENTIVE COMPATIBLE; NO ENVY; FAIRNESS;
Find related papers by JEL classification:
- D63 - Microeconomics - - Welfare Economics - - - Equity, Justice, Inequality, and Other Normative Criteria and Measurement
- Q20 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Renewable Resources and Conservation - - - General
This paper has been announced in the following NEP Reports:
- NEP-ALL-2006-04-22 (All new papers)
Please report citation or reference errors to , or , if you are the registered author of the cited work, log in to your RePEc Author Service profile, click on "citations" and make appropriate adjustments.:
- Schmeidler, David & Vind, Karl, 1972.
"Fair Net Trades,"
Econometric Society, vol. 40(4), pages 637-42, July.
- H. R. Varian, 1973.
"Equity, Envy and Efficiency,"
115, Massachusetts Institute of Technology (MIT), Department of Economics.
- Moulin, H., 1988.
"Welfare Bounds In The Fair Division Problem,"
UFAE and IAE Working Papers
106-88, Unitat de Fonaments de l'Anàlisi Econòmica (UAB) and Institut d'Anàlisi Econòmica (CSIC).
- Ching, Stephen, 1992. "A simple characterization of the uniform rule," Economics Letters, Elsevier, vol. 40(1), pages 57-60, September.
- d'ALBIS Hippolyte & AMBEC Stefan, 2009.
"Fair intergenerational sharing of a natural resource,"
LERNA Working Papers
09.23.299, LERNA, University of Toulouse.
- d'Albis, Hippolyte & Ambec, Stefan, 2010. "Fair intergenerational sharing of a natural resource," Mathematical Social Sciences, Elsevier, vol. 59(2), pages 170-183, March.
- Hippolyte D'Albis & Stefan Ambec, 2010. "Fair Intergenerational Sharing of a Natural Resource," Post-Print hal-00630440, HAL.
- d'Albis, Hippolyte & Ambec, Stefan, 2009. "Fair Intergenerational Sharing of a Natural Resource," TSE Working Papers 09-084, Toulouse School of Economics (TSE).
For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: (Agnès Vertier).
If references are entirely missing, you can add them using this form.