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The equity core and the Lorenz-maximal allocations in the equal division core

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  • Llerena Garrés, Francesc
  • Vilella Bach, Misericòrdia

Abstract

In this paper, we characterize the non-emptiness of the equity core (Selten, 1978) and provide a method, easy to implement, for computing the Lorenz-maximal allocations in the equal division core (Dutta-Ray, 1991). Both results are based on a geometrical decomposition of the equity core as a finite union of polyhedrons. Keywords: Cooperative game, equity core, equal division core, Lorenz domination. JEL classification: C71

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File URL: http://hdl.handle.net/2072/212194
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Paper provided by Universitat Rovira i Virgili, Department of Economics in its series Working Papers with number 2072/212194.

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Date of creation: 2013
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Handle: RePEc:urv:wpaper:2072/212194

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Keywords: Jocs cooperatius; 33 - Economia;

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  1. Dutta, Bhaskar & Ray, Debraj, 1991. "Constrained egalitarian allocations," Games and Economic Behavior, Elsevier, vol. 3(4), pages 403-422, November.
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