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The Three Musketeers: Four Classical Solutions To Bankruptcy Problems

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Author Info
Antonio Villar Notario (Instituto Valenciano de Investigaciones Económicas)
Carmen Herrero Blanco (Instituto Valenciano de Investigaciones Económicas)

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Abstract

This paper provides a comparative analysis of some classical solutions to bankruptcy problems from an axiomatic viewpoint. These rules are the constrained equal-awards rule, the constrained equal-losses rule, the proportional rule and the Talmud rule. The purpose of this study is to facilitate the understanding of their differences and to clarify the type of situations in which each of these rules is better.

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File URL: http://www.ivie.es/downloads/docs/wpasad/wpasad-2000-23.pdf
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File Function: Fisrt version / Primera version, 2000
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Publisher Info
Paper provided by Instituto Valenciano de Investigaciones Económicas, S.A. (Ivie) in its series Working Papers. Serie AD with number 2000-23.

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Length: 29 pages
Date of creation: Nov 2000
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Publication status: Published by Ivie
Handle: RePEc:ivi:wpasad:2000-23

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Related research
Keywords: Bankruptcy problems proportional solution equal-awards solution

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Find related papers by JEL classification:
D63 - Microeconomics - - Welfare Economics - - - Equity, Justice, Inequality, and Other Normative Criteria and Measurement

References listed on IDEAS
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.:

  1. Chun, Youngsub, 1988. "The proportional solution for rights problems," Mathematical Social Sciences, Elsevier, vol. 15(3), pages 231-246, June. [Downloadable!] (restricted)
  2. Herrero, C. & Villar, A., 1998. "Preeminence and Sustainability in Bankruptcy Problems," Papers 98-17, Valencia - Instituto de Investigaciones Economicas.
    Other versions:
  3. O'Neill, Barry, 1982. "A problem of rights arbitration from the Talmud," Mathematical Social Sciences, Elsevier, vol. 2(4), pages 345-371, June. [Downloadable!] (restricted)
  4. Herrero, Carmen & Marco, Maria Carmen, 1993. "Rational equal-loss solutions for bargaining problems," Mathematical Social Sciences, Elsevier, vol. 26(3), pages 273-286, November. [Downloadable!] (restricted)
  5. Dagan, Nir & Volij, Oscar, 1993. "The bankruptcy problem: a cooperative bargaining approach," Mathematical Social Sciences, Elsevier, vol. 26(3), pages 287-297, November. [Downloadable!] (restricted)
    Other versions:
  6. Aumann, Robert J. & Maschler, Michael, 1985. "Game theoretic analysis of a bankruptcy problem from the Talmud," Journal of Economic Theory, Elsevier, vol. 36(2), pages 195-213, August. [Downloadable!] (restricted)
  7. Nir Dagan, 1996. "New Characterizations of Old Bankruptcy Rules," Economic theory and game theory 002, Nir Dagan. [Downloadable!]
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  8. Dagan, Nir & Serrano, Roberto & Volij, Oscar, 1997. "A Noncooperative View of Consistent Bankruptcy Rules," Games and Economic Behavior, Elsevier, vol. 18(1), pages 55-72, January. [Downloadable!] (restricted)
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  9. Herrero, Carmen & Maschler, Michael & Villar, Antonio, 1999. "Individual rights and collective responsibility: the rights-egalitarian solution," Mathematical Social Sciences, Elsevier, vol. 37(1), pages 59-77, January. [Downloadable!] (restricted)
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  10. Young, H. P., 1988. "Distributive justice in taxation," Journal of Economic Theory, Elsevier, vol. 44(2), pages 321-335, April. [Downloadable!] (restricted)
  11. Moulin, Hervé, 1998. "Priority Rules and Other Inequitable Rationing Methods," Working Papers 98-03, Duke University, Department of Economics.
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Cited by:
(explanations, 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.)

  1. Juan de Dios Moreno Ternero & Antonio Villar Notario, 2003. "The Talmud Rule And The Securement Of Agents? Awards," Working Papers. Serie AD 2003-05, Instituto Valenciano de Investigaciones Económicas, S.A. (Ivie). [Downloadable!]
    Other versions:
  2. Diego Dominguez & William Thomson, 2004. "A New Solution to the Problem of Adjudicating Conflicting Claims," RCER Working Papers 511, University of Rochester - Center for Economic Research (RCER). [Downloadable!]
    Other versions:
  3. José Alcalde & María Marco & José Silva, 2008. "The minimal overlap rule revisited," Social Choice and Welfare, Springer, vol. 31(1), pages 109-128, June. [Downloadable!] (restricted)
  4. Chun-Hsien Yeh, 2006. "Protective Properties and the Constrained Equal Awards Rule for Claims Problems: A Note," Social Choice and Welfare, Springer, vol. 27(2), pages 221-230, October. [Downloadable!] (restricted)
  5. Herrero & C., 2004. "On the Adjudication of Conflicting Claims: An Experimental Study," Econometric Society 2004 North American Summer Meetings 166, Econometric Society. [Downloadable!]
  6. Veronika Grimm & Giovanni Ponti & Jaromir Kovarik, 2006. "Fixed Price Plus Rationing: An Experiment," Working Papers. Serie AD 2006-26, Instituto Valenciano de Investigaciones Económicas, S.A. (Ivie). [Downloadable!]
  7. Branzei,R. & Dimitrov,D. & Pickl,S. & ..., 2002. "How to cope with division problems under interval uncertainty of claims?," Working papers 339, University of Bielefeld, Insitute of Mathematical Economics. [Downloadable!]
    Other versions:
  8. Lorenzo-Freire, Silvia & Casa-Mendez, Balbina & Hendrickx, Ruud, 2005. "The two-stage constrained equal awards and losses rules for multi-issue allocation situation," Discussion Paper 80, Tilburg University, Center for Economic Research. [Downloadable!]
  9. Simon Gächter & Arno Riedl, 2006. "Dividing Justly in Bargaining Problems with Claims," Social Choice and Welfare, Springer, vol. 27(3), pages 571-594, December. [Downloadable!] (restricted)
    Other versions:
  10. Juan de Dios Moreno Ternero & Carmen Herrero Blanco & Giovanni Ponti, 2003. "An Experiment On Bankruptcy," Working Papers. Serie AD 2003-03, Instituto Valenciano de Investigaciones Económicas, S.A. (Ivie). [Downloadable!]
  11. Carmen Herrero & Ricardo Martínez, 2008. "Balanced allocation methods for claims problems with indivisibilities," Social Choice and Welfare, Springer, vol. 30(4), pages 603-617, May. [Downloadable!] (restricted)
  12. Antonio Villar Notario & Juan D. Moreno Ternero, 2001. "The Tal-Family Of Rules For Bankruptcy Problems," Working Papers. Serie AD 2001-33, Instituto Valenciano de Investigaciones Económicas, S.A. (Ivie). [Downloadable!]
    Other versions:
  13. William Thomson & Chun-Hsien Yeh, 2006. "Operators for the adjudication of conflicting claims," RCER Working Papers 531, University of Rochester - Center for Economic Research (RCER). [Downloadable!]
  14. Carmen Herrero & Antonio Villar, 2002. "Sustainability in bankruptcy problems," TOP: An Official Journal of the Spanish Society of Statistics and Operations Research, Springer, vol. 10(2), pages 261-273, December. [Downloadable!] (restricted)
  15. José M. Jiménez Gómez & María del Carmen Marco, 2008. "A New Approach for Bounding Awards in Bankruptcy Problems," Working Papers. Serie AD 2008-07, Instituto Valenciano de Investigaciones Económicas, S.A. (Ivie). [Downloadable!]
  16. José Alcalde & José Angel Silva & María del Carmen Marco, 2002. "Bankruptcy Games And The Ibn Ezra'S Proposal," Working Papers. Serie AD 2002-28, Instituto Valenciano de Investigaciones Económicas, S.A. (Ivie). [Downloadable!]
    Other versions:
  17. Juan Moreno-Ternero, 2006. "Composition, Securement, and Concede-and-divide," Spanish Economic Review, Springer, vol. 8(3), pages 227-237, September. [Downloadable!] (restricted)
  18. William Thomson, 2006. "The Two-Agent Claims-Truncated Proportional Rule Has No Consistent Extension: A Constructive Proof," RCER Working Papers 529, University of Rochester - Center for Economic Research (RCER). [Downloadable!]
    Other versions:
  19. Marco Mariotti, 2003. "Even Allocations For Generalised Rationing Problems," Working Papers. Serie AD 2003-10, Instituto Valenciano de Investigaciones Económicas, S.A. (Ivie). [Downloadable!]
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